US Debt Eraced!
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Stocks now make up a larger share of American household wealth than real estate.
This has happened exactly twice before.
Once in the 1960s. Once right before the dot-com crash.
Both times the stock market fell 50% or more.
The average American household now has 42% of their net worth in equities. In 1992 that number was 14%. In 30 years the country went from "stocks are one piece of the portfolio" to "stocks ARE the portfolio."
Pensions were replaced by 401ks. 401ks became target-date funds. Target-date funds became passive index funds. Passive index funds became a leveraged bet on seven companies.
The top 10 stocks now represent over 35% of the entire S&P 500. That's the highest concentration since the index was created. You think you own 500 companies. In practice you own a tech fund with 490 companies rounding out the edges.
Apple, Microsoft, Nvidia, Amazon, Meta, Alphabet, and Tesla. If those seven stocks drop 40%, your "diversified" index fund drops 14% from the top 7 alone. Before a single other company is affected.
Nvidia by itself is over 6% of the S&P 500. One chipmaker is a bigger weighting than the entire energy sector. One company's earnings revision can move the retirement savings of 150 million Americans.
And there's no mechanism to slow it down. ETFs don't sell when a stock is overvalued. They sell when the INVESTOR panics. The money flows in automatically every paycheck, buys the same 7 stocks at the same weightings regardless of price, and pushes them higher. The higher they go, the bigger their index weighting gets. The bigger the weighting, the more of every new dollar goes into those same stocks.
It's a self-reinforcing loop that works beautifully on the way up.
On the way down it reverses. And it reverses faster. Because fear moves quicker than greed.
When the dot-com bubble broke, the S&P lost 49%. The Nasdaq lost 78%. The median household didn't recover their portfolio value until 2012. A full decade.
Buffett is parking $344 billion in treasury bills right now. That's the largest cash position he has ever held in his career. He's been investing since 1942. He has never held this much cash. When the greatest investor alive can't find a single stock worth buying at these prices, that's not caution. That's a signal.
So I've been rebalancing aggressively toward assets that aren't trapped in the passive concentration loop.
I'm not selling everything and going to cash. Timing the top of a bubble is how you miss two years of returns and feel stupid. But the rotation is real and I started months ago.
Equal-weight S&P 500 (RSP) instead of market-cap weighted (SPY). RSP gives you the same 500 companies but each one weighted equally. When concentration snaps, equal-weight outperforms cap-weight by 15-30% in the drawdown because the top 7 can't drag the whole index.
Commodities and commodity producers. Gold miners, energy producers, uranium, copper. These sectors are underweighted in every passive index fund. When money rotates out of tech into real assets, the percentage moves in commodity stocks are 3-5x larger because the market caps are tiny by comparison. GDX went up 155% last year while the S&P returned 8.7%.
Short-duration treasuries (BIL) for the cash allocation. 4.5% yield with zero duration risk. I want the ability to deploy cash fast when the correction creates real bargains.
International equities trading at 10-14x earnings vs the S&P at 25x. The valuation gap between US and international stocks is the widest in 40 years. At some point that gap compresses. It always does.
This is the setup I've been building for months. In my weekly sessions I walk through the exact allocation, the exact names, and the reasoning behind each position. Several people who rebalanced early have told me it changed how they think about their portfolio entirely, which honestly is the part that keeps me doing this.
I run a free webinar every week going through all of it. Comment "web" and I'll shoot you the link.
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🚨BREAKING: TRUMP HEADS TO FLORDA FOR ANOTHER TAXPAYER FUNDED VACATION
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@DesireeAmerica4 Life expectancy age 62 is 82. It is basically “a wash“. Desiree, you seem so shallow…
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The biggest gamble of your life? Social Security.
The system tells you to wait.
Take it at 62: $1,800/mo.
Wait till 70: $3,000/mo.
Sounds like a no-brainer, right? Run the math.
To actually profit from waiting, you have to live past 82.
The average US life expectancy? 79.
With the garbage in our food and the stress we carry today, making it to 82 is a massive bet.
Are you taking the money at 62 and running, or holding out for the bigger check?
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🚨 Rep. Anna Paulina Luna says, " I have enough evidence to believe both Governor Tim Walz and Keith Ellison were knowingly complicit in a Somali fraud scheme in Minnesota. Therefore I have referred them BOTH to the DOJ for criminal charges. May justice be swift. The American people are tired of being taken advantage of."
Do you firmly support Anna on this?
A. Huge Yes
B. No
If you strongly support Anna Paulina Luna for everything she’s doing to Make America Great Again, drop a “👍”
MAKE THIS GO VIRAL ON 𝕏. LET’S GO 👏
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@QTHESTORMM I would like to be entered into the raffle. I speak with people from time to time and they say they don’t like Elon. I can’t understand it, and I am disturbed by this, one of the greatest mysteries in my universe. Absolutely “ upside down“ people. Thank you Elon.
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This week Trump is going to try to ram through the Senate his bill to take over state elections so he can rig the vote in his favor. As he becomes historically unpopular, he’s getting desperate.
We cannot let this bill pass.
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I agree with Senator Fetterman.
Also, this regime was enriching urnanium up to 60%. 3-5% is typical for civilian purposes.
They were building a ballistic missile stockpile to deter anyone from stopping them getting nuclear weapons.
They believe in Terrorism as a way of doing things. Meaning they are perfectly willing to slaughter civilians. They do it to their own people. Now pair that with nukes…
It makes no sense to wait until they are more powerful and then try to stop them..
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A Spanish assembly member just stood up in the Madrid parliament and said what most world leaders won’t:
“Do you think the mothers of 160 dead girls would thank Trump for killing their children? You have become a bootlicker of Trump.”
The chamber erupted in support.
This is happening in Madrid.
In Washington, senators are competing to prove their loyalty to a foreign government.
In Texas, Ted Cruz told Christians he won’t stand with them if they won’t stand with Israel.
In South Carolina, Lindsey Graham is recruiting parents to send their children to the Middle East.
In Madrid, an elected official is saying the mothers of 160 dead girls out loud — in parliament — on the record.
Spine: 100%.
The moral clarity that is absent in Washington is showing up everywhere else.
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Melania Trump has spoken out publicly in defense of her husband, delivering an emotional statement that has quickly drawn attention across the political landscape.
“What is happening to my husband goes far beyond ordinary criticism. It has become deeply personal and, in many ways, profoundly unfair to a man who has devoted decades of his life to public service. I often ask myself how people can be so relentless. They are attacking a leader who carries immense responsibility every day — someone who works under constant pressure, scrutiny, and expectations that very few people could truly understand. Donald has never asked for sympathy, and he has never blamed others. Instead, he continues to work and lets his actions speak for themselves.”
“To me, Donald is more than just a president. He is a determined, disciplined, and resilient man. Rather than magnifying every mistake or adding more pressure through endless headlines and debates, people should recognize the sacrifices and strength it takes to stand at the center of such intense public attention.
He does not fight simply for power — he fights because he genuinely believes in the future of this nation.”
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The Kash Patel video and why it matters 👇🏼
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I won’t attend Trump’s State of the Union on Tuesday.
This isn’t business as usual.
Here’s what I’ll be doing instead:
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ICE just bought this building in Romulus to turn it into a detention center. In a matter of months, this could turn into a place that ruins lives. All that money should be saving lives—through healthcare, housing, or infrastructure.
Why the hell are we spending our tax dollars on this?
ABOLISH ICE.
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@Brookltnwilliw I understand, but you have to play by the rules in life. It’s OK unless you get caught.
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Thank you @SenatorCollins ! She just became the 50th senator to sign onto the SAVE AMERICA ACT! Go tell her thank you Patriots!
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@SenMcConnell Agreed and so now, pass the SAVE ACT. Fraud needs to be stopped at every level! Thanks
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After years of the Obama-Biden War on Coal, the Trump Administration is rolling back regulatory overreach that targeted affordable and reliable American energy. The actions of the Obama-Biden Administrations forced miners into early retirement, hurt rural communities, raised energy prices, and weakened our national security—while China, our top strategic competitor, made massive investments in expanding coal production. Instead of closing coal-fired power plants, we should be focused on preserving good-paying jobs and ensuring the availability of reliable, affordable energy for American families. Coupled with Tennessee Valley Authority’s efforts to support coal’s comeback in Kentucky, today’s announcement by the President is welcome news to the communities and thousands of workers whose livelihoods depend on the coal industry.
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@SenThomTillis Please pass the SAVE ACT. We must avoid any more fraud going forward. Thank you 🙏
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The pawlitical event of the season is here!
To celebrate Mardi Gras, my office will be hosting a special bipawtisan Doggi Gras Pawrade. 🐾
📍 Hart Atrium
📅 Feb 25
⏰ Line up for pawrade will begin @ 3:50 PM
We hope you and your pups will join us!
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