Opening Comments
My last note was entitled, “Possessions Tie You Down.” I was a bit surprised by the overwhelmingly positive reaction and the number of comments and new subscribers within hours of posting. The most opened links were about the secret reasons to students are getting accepted to Ivies and rejected from others and the only generation not in a sex recession.
My frugality is legendary. There has never been a better clearance sale shopper in the history of mankind, and my numerous stories on the topic (#1, #2, #3) suggest I am the Michael Jordan of sale shopping. I bought a Kia Telluride for $52k (with tax/tag/title…) in 2020 and was going to trade it in 3.5 years later. I was offered $36k on the trade-in without negotiating, and they told me $38k was reasonable. That means the cost to own the car was $333/month, not including de minimis maintenance costs, as most things were under warranty. My friend bought a Bentley for $320k, and it was riddled with issues. He went to trade it in and got $115k for it in after 42 months. He also had to spend $5k/year on maintenance. This brought his cost of ownership to $5,300/month for a car. Sorry, but no car is worth $5,300/month. That is a mortgage payment.
Late send. CRAZY travel day and lots of news. In LA now.
Markets
Tale of Two IPOS
Spring Selling House Tips
$80mm PH “Dupe” in NYC-Crazy Story
$175mm Bel-Air Estate for Sale
Picture of the Day-Maintenance and Repair Costs by Brand
Tesla is the #1 most affordable car to own and maintain, according to Consumer Reports. Over the first five years of ownership, maintenance costs average $730. In the following five years, costs rise to $4,320, bringing the total 10-year maintenance cost to $5,050. I can tell you that Tesla tires are EXPENSIVE! This survey was done before a bunch of Tesla cars were getting vandalized, given Musk’s Trump relationship. Slashed tires, broken windows and spraypainted cars will cost money to fix! From Seattle to Miami, anti-Musk protesters gathered at hundreds of Tesla locations.
The Pendulum Swings
I find that in life, the pendulum swings back in forth and is rarely squarely in the middle. One clear example: the free-for-all before the Global Financial Crisis, followed by the tight restrictions that came after. Banks were lending over 110% of the cost of a home to people with no jobs in 2007. There were No Income, No Job, No Assets loans (NINJA). What could go wrong? Then, the music stopped, and it was hard to get a loan at 70% Loan to Value. The pendulum swung too far in either direction.
Concerning DEI, there was a crazy period where many companies focused a great deal of time on earnings calls on their Diversity, Equity and Inclusion plans and success rather than on the financial performance of the firm. This article shows mentions of “DEI” in quarterly earnings calls. As you can see, we are well past the peak levels of 2021. With Trump crushing DEI initiatives, what do you think the chart looks like going forward? Over the past year, dozens of major companies cancelled or rolled back their DEI initiatives including Ford, Harley-Davidson, John Deere, Lowes, Tractor Supply, Pepsi, Goldman, Google, Target, Meta, Amazon, McDonalds and many others.
In academia, DEI was a huge talking point. At the University of Michigan, they had 248 employees dedicated to the effort and spent $250mm on it. The head of DEI at UofM was making $417k, compared to the governor of Michigan, who was making $159k, and full professors at the school were making $207k. Sorry folks, this was absolutely criminal. The school abruptly announced it is closing DEI offices just last week. Imagine the facilities that could have been built or educators that could have been hired with $250mm.
We are starting to see some sanity on crime. Cities legalized illegal drugs only to reverse course as the results of the experiment backfired. Seattle was pushing to defund the police and now more politicians there are backtracking. Numerous cities that called to “defund the police” have changed their minds (DC, NY, LA, Seattle, Austin, Baltimore, Oakland, and others) and have increased police spending.
Pre the “Me-Too” movement, predators such as Harvey Weinstein were doing disgusting things to women in plain sight. Countless people knew of his heinous crimes, and no one stood up to him over fears of repercussion. This NYT story lists 201 men who lost major roles as part of the “Me-Too” movement. I do not condone the mistreatment of anyone and found many of the stories to be vile. I think about my daughter, and if anyone ever treated her the way some of these men treated women, it makes me sick to my stomach.
Sometimes there are unintended consequences. I spoke with numerous senior men on Wall Street who refused to mentor women for some time. They said, “What is the upside? If the woman accuses me of something, I will be fired. Senior management shoots first and asks questions later.”
Some men would only meet women in public places and refused one-on-one meetings in a private office setting. The pendulum swung so far that I know multiple people who would not hire a woman for fear of being sued during peak #MeToo.
We have seen millions of illegals come into the U.S.A. and be released with no way to track them. They were given phones, money, clothes, food, education… NYC gave pre-paid debit cards. Trump came into office, and the border is shut and illegals started getting deported. America is a melting pot, and I am all for LEGAL immigration with limits on how many people can come into the country. What is a country without borders? How many bad actors came in while 300k/month were entering illegally? Trump’s idea of $5mm Gold Card Visas sold out in a hurry.
I wrote a piece entitled “The World Has Gone Mad,” where I outlined that a University of Chicago professor was CANCELLED for writing an op-ed, “The Diversity Problem on Campus,” which suggested merit matters for college admission and jobs. I agree with the op-ed and suggestions. I feel the best person should get into school or a job.
There was a time when people were cheering at biological men playing women’s sports. Look at Lia Thomas who, as a man, was #554 in the men’s swimming division for the 200-yard freestyle in college and #65 in the 500-yard freestyle. When competing as a woman, Lia was #5 and #1, respectively. Trump has brought some sanity to this ridiculous argument that men should compete with women. I happen to agree that biological men should not compete with women in sports. However, Maine refused to comply with the ban on biological males in women’s sports. For the life of me, I just cannot understand why men competing with women is good for anyone.
When I was a kid, ADHD was not a thing, kids were rarely diagnosed with autism, and no one was allergic to nuts, gluten, or dairy products. I brought a peanut butter and jelly sandwich to school every day in my Emergency lunchbox and had a Reese’s Peanut Butter Cup for dessert. I would be expelled from school today for bringing in such dangerous material that could kill the student body. Millions of kids are on stimulants for ADHD. I had never heard of one kid who was autistic in my youth, and I personally know dozens today. In the 1960s, autism was diagnosed in four out of 10,000 children. By 2000, it was one out of 150 and in 2020, one out of 36.
Sadly, the pendulum does not sit squarely in the middle for long. It tends to swing from one excess to another. I am just looking for some sanity. I don’t think it is a big ask – but shockingly, it is.
Quick Bites
All eyes were on the “Liberation Day” announcement by Trump on tariffs which overshadowed all other data or news. Markets rallied on Monday in hopes of lower-than-expected tariffs, but the announcement sent stocks sharply lower after hours. The S&P and Nasdaq were -2% and 3.5% respectively after the close. The charts below outline the reciprocal tariffs. I do not believe these are long-lived tariffs and will be negotiated over the next 30-90 days. Trump loves the “Art of the Deal,” and will be announcing his negotiation results in coming weeks. I do not see a real scenario that these onerous tariffs are in place at the end of 2025. As I understand it from the news, China tariffs are 54% (34%+20%) and the retaliation from their side will be interesting. If for some reason, we are still talking about tariffs at the end of 2025, I feel we will be in a recession. Restoration Hardware announced disappointing earnings and guidance after the close sending the stock -25%. YTD, the 10 Year Treasury yield has dropped sharply. It started the year at 4.57% and hit 4.80% in early January and is now 4.12% around slowing economic growth, recession fears and tariffs. The market futures are suggesting three rate cuts in 2025, but for growth concern reasons. Trump wants lower rates and has pushed Powell, but the ramifications of such high tariffs will clearly lower growth.
Two recent IPOs are trading very differently as of Monday. Conservative cable TV news outlet Newsmax +700%+ on the day, while cloud computing company Coreweave was -10% and trading below the IPO price. Newsmax went public at $10/share and opened at $14 before closing at $82/share and going to $98 after hours and $233 by Tuesday’s close. At one point Tuesday, Newsmax had a higher market cap than Fox and was trading at almost 100 times revenues before falling 77% on Wednesday back to $55/share. On the other end of the spectrum, Coreweave went public at $40/share mid-day Friday and traded down as low as $36 before settling at $37+. However, on Tuesday, the stock was +42% to close at almost $53/share and is going in the other direction of Newsmax as it closed Wednesday at $61. The charts below were through Tuesday and do not reflect today’s Newsmax CARNAGE.
Politics
I am opposed to this idea.
Trump Signs Executive Order to Overhaul Voting
Order lays out identification requirements and blocks absentee ballots received after Election Day. I am not sure if his idea is the right method, but do feel we need proper voter registration and ID.
Trump Ushers In ‘New High Water Mark’ for Deregulation
I am supportive of smaller government and less regulation. Over-regulation is anti-business and anti-growth. However, the benefits of lower regulation seem to be getting overshadowed by the Trump tariff plans.
Anti-American Sentiment Rises in Europe as Trump Fuels Anger
Elon Musk reveals DOGE’s new target — members of Congress who got ‘strangely wealthy’
I am fully supportive of this idea. Clearly, insider trading is fueling some of the wealth creation, but I am convinced something more is going on in many cases.
Elon Musk Says Institute of Peace Wiped Terabyte of Data To 'Cover Crimes'
Tesla shares rise on unconfirmed report Musk could be leaving DOGE post soon
I love seeing this. Trump, please deport all the illegal criminals and gang bangers out of this country immediately. Read about this illegal who is a murderer, rapist, and charged with necrophilia.
I love this. When I buy concert or sports tickets, the stated price and ultimate price are massively different. There are so many fees. Don’t get me started on the Taylor Swift tickets for my daughter.
Susan Crawford wins Wisconsin Supreme Court race, defying Elon Musk
Judge dismisses criminal case against New York Mayor Eric Adams
I disagree with the decision to dismiss this case.
Let me get this right. Mangione murdered a CEO in cold blood and they are naming a ballot measure after him? What about the Jeffrey Dahmer childcare law? There is no price for me to live in CA. The place is out of control. DOJ to seek death penalty for Luigi Mangione in CEO Brian Thompson murder
Greenland’s new PM rejects Trump’s threat: ‘We do not belong to anyone else’
Democrats have never been so angry. Who will step up and lead them?
California Governor Newsom Says the Democratic Brand Is ‘Toxic’
Gov. Gavin Newsom, appearing on “Real Time With Bill Maher,” said his own party talked down to people and was stuck in an echo chamber. His recent moves suggest he is making a run for 2028. Based on his policies, the failures in the state of California, his track record, deficits, wealth fleeing, and anti-business nature, I hope the Democrats have a better candidate.
Middle East
Iran has rejected direct negotiations with the US in response to Trump’s letter
Trump, give Israel the bunker-busting bombs and take out Iran’s ability to produce nukes.
Trump declares Houthis have been ‘decimated’ by ‘relentless strikes’
UK report on Hamas massacre exposes worst attack on Jews since Holocaust
I am the most frugal person on earth, and if my kids were given full scholarships to Columbia, I would forbid them from attending.
He was protesting Hamas and this is what happened to him. Hamas needs to be eliminated. Where is the outrage?
Trump admin to audit $9b in Harvard grants, contracts over Jew-hatred
“Harvard’s failure to protect students on campus from antisemitic discrimination—all while promoting divisive ideologies over free inquiry—has put its reputation in serious jeopardy,” U.S. Secretary of Education Linda McMahon stated.
Other Headlines
Goldman sees Trump tariffs spiking inflation, stunting growth and raising recession risks
GS now sees three rate cuts in 2025 and increased the chance of a recession to 35% from 20%.
The s-word rippling through Wall Street and Main Street
Stagflation.
First-quarter GDP growth will be just 0.3% as tariffs stoke stagflation conditions
BlackRock CEO Larry Fink says protectionism ‘has returned with force’
Hedge funds turn defensive amid tariff chaos, selling tech stocks
Millennium, Citadel Extend 2025 Losses With a Volatile March
Tesla plunges 36% in first quarter, worst performance for any period since 2022
Tesla lost over $460 billion in market cap in the quarter, while the Musk-led Department of Government Efficiency claims it’s so far saved $140 billion.
YouTube is about to eclipse Disney as the biggest media company in the world
NO ONE would have believed this was possible 20 years ago. Google bought YouTube in 2006 for $1.65bn. A Variety article suggests YouTube is worth as much as $550bn today.
Wild mob smashes windows of NYPD vehicles
Watch the video. What are the consequences for such behavior?
Amsterdam mayor gives hero award to English tourist who tackled knifeman
The Who’s Roger Daltrey, 81, shocks fans as he reveals devastating health battle
I’ve been to several The Who concerts, including one a couple of years ago, and it’s clear Daltrey isn’t doing well.
Putin drafts 160,000 men into Russian army despite peace talks
Exposed deepfake database reveals horrific manipulated celebrity images
New wavy road lines to curb speeding in Pa. township perplexes residents
Look at these pictures. Looks like an SNL skit.
Did Yankees' physicist-designed 'torpedo' bats play role in 9-HR power surge?
Auburn topples Michigan State to create rare March Madness Final Four feat
Four #1 seeds in the Final Four - 1st time since 2008 and the 2nd time ever.
Health Related
Use this 1 mental hack to develop the personality trait that is key to living a long, happy life
Using a ‘Tiny Bit of Math’ May Improve Your Heart Health, Study Suggests
Divide your average daily heart rate by your daily average number of steps.
Healthy eating in middle age has this key longevity benefit
Certain foods increase chances of reaching 70 without health issues
I’m a neurologist — I eat these 8 foods to keep my brain healthy
Adults can sleep with stuffed animals, too. It might even be a good thing
Real Estate
I recently wrote an article about the importance of having a reasonable selling price if you want to move your home. This WSJ article, “Selling Your House This Spring? You Might Need to Cut the Price,” walks through high expectations from sellers that may not be met. The crucial spring home-selling season has started and the housing market is tepid. Discounts may be needed to tempt wary buyers. Almost 40% of all new homes sold annually in the U.S. are purchased from February through May. Last year’s buying season was weak. So hopes are high that today’s fractionally lower mortgage rates and greater supply of homes for sale will tempt more buyers off the sidelines in 2025. Early signs of spring demand are mixed. Home hunters are window shopping more than they were last year, based on the number of property tours happening. Mortgage applications to purchase homes rose 7% in the week ended March 21 compared with the same period of 2024, data from the Mortgage Bankers Association shows. The emerging picture is that demand from buyers is there, but it is fragile. Meanwhile sellers’ price expectations are high and inventory levels are rising nationally because properties are sitting on the market unsold. In short: if you want to sell this spring, be sure to have an asking price in the range of reasonable. Let the market help dictate with feedback from brokers and showings.
Crazy story about NYC real estate developers who “duped” a client into spending $80mm on a PH knowing a new building would be blocking the view. Arthur and William Lie Zeckendorf perpetrated “a brazen fraud” on the buyer of the five-bedroom, 6.5-half bath duplex at 520 Park Ave., the unidentified purchaser said in a Manhattan Supreme Court filing that seeks to undo the November deal. The 8,300-square-foot Upper East Side home, complete with solarium, private elevator, balcony, and a fireplace, is billed as having “dazzling panoramic views from all four exposures,” according to a real estate listing. But a 37-story skyscraper with 62 units planned by Extell Development and Solil Management on several combined lots next door “is all but certain to ruin the Penthouse’s unobstructed Central Park view,” according to the lawsuit. It’s unclear when the new building is expected to be completed.
The unsold Los Angeles megamansion that Conrad Hilton and David Murdock have both called home just got a price boost. The Bel-Air estate, known as Casa Encantada, once carried the prize for the most expensive home for sale in the United States two years ago with a whopping $250 million price tag. After several subsequent price cuts, the 60-room abode returned to the market with a $175 million asking price, Mansion Global reported.
© 2025 The Rosen Report LLC. All rights reserved. Does not constitute investment, financial, legal, or tax advice. Consult with your lawyers and professional financial advisers. Rosen Report™ #774 ©Copyright 2025 Written By Eric Rosen.
