In the ongoing story of the ‘haves’ and ‘have nots’, Jay Woods, Freedom Capital Markets' chief global strategist, explores the current environment of the stock market's boom and the average consumer's bust. With a humorous nod to the Girl Scouts and their beloved Thin Mints, Woods navigates the contrasting landscape and offers a solution. He spoke with Yahoo Finance’s Jared Blikre and Sydnee Fried on, “Stocks in Translation.” Listen to the whole episode here, or wherever you get your podcast.

This post was written by Jimi Corpuz

Video Transcript

When we talk about like Wall Street versus Main Street and how people feel about the economy.

Like, I, I don't know your average person, maybe they're not paying that much attention to the stock market or a I mania just because they're paying more prices at the grocery store and that's what they care about, right?

So how do you more reconcile?

Like, forget about the politics for a second.

Like what are we really talking about when we talk about the economy versus uh versus main street?

Which is what the average person cares about?

Yeah.

And unfortunately it is a have and have not uh situation where the upper class has been doing really well.

And where is most of their, you know, wealth been generated?

It's been generated in the stock market and we've seen great returns.

So in this case, the wealthier get even wealthier.

They're doing well where, you know, the average guy on main street is worried about what they're paying at mcdonald's and we're seeing that literally in mcdonald's and then what they're paying at the pump, gas prices are a huge election issue every year.

It's the biggest tax on the American consumer because that's what they see change more than anything that fluctuates just as much as the stock market at times.

So when they have to do their everyday chores, their groceries, which have not come down in, you know, any, they never come down.

But, uh, they're seeing shrink.

You know, my, my box of girl scouts, the girl scouts started this shrink.

By the way, we thin mints.

I am an expert.

It dangerous to blame the girl scouts.

I will start that war and I will die on that hill.

The girl scouts were the first people to reduce the amount of thin mints because I could eat a sleeve in about 60 seconds, then I could do it in 45 seconds.

Sounds like you're speaking from personal experience.

I may.

Uh Yes.

Uh it's, it's something i it's one of my skills in life.

But uh no, but to get back to the consumer.

Yes.

Uh There are parts of main street that don't understand what's going on and what they hear, they hear the mania things they hear when gamestop and Roy Kitty re you know, tweets for the first time in three years and they think they can make a quick buck and it's the long term investors that tend to do well over the long term.

Story continues

Uh But when people are trying to make that quick buck and look at the market in a different light, it's great to have new investors.

But when new investors come to the market, people like us, people in my industry need to tell them one the, the downside risks that are involved and, and two guide them say welcome.

Now, let's diversify a little bit.

It's not, stocks are going to the moon and I think we've seen it and I look at a stock like Robin Hood that's, you know, up 70% year to date.

Uh, the stock is starting to see consistent user base and it's growing, it's going after an older base of people like my, my age, which, as, you know, we won't diverge, uh, divulge, divulge.

But, uh, you know, they're transferring their 401k, they're looking for more long term growth.

So, II, I think education shows like this, uh, help people that don't understand some of the things that people like myself have been engrossed in for 32 years and just talk like it's our everyday common language.