Henry Weingarten: Markets in “Fantasy Land,” Time to Invest for 2024

With the summer doldrums in full swing, Henry Weingarten of the Astrologers Fund is looking to the future.

“At the moment we’re still in the bearish camp (on the market),” he told the Investing News Network in an interview. “We have a lot of little trades we like doing to cover ourselves, (but) we think the market is in fantasy land.” In his view, the reality is that the economy is slowing, inflation is still here and the US Federal Reserve won’t lower interest rates until next year.

“Our general view is invest for 2024,” continued Weingarten, who is managing director at his firm. “As traders, basically when the market’s up … we’re going to be shorting it, and when commodities are down we’re buying. Our basic view is commodities are undervalued on an annual basis, and the market’s way overvalued depending on what you’re looking at.”

Getting more specific, Weingarten mentioned two resource sector stocks that he likes. He described MAG Silver (TSX:MAG,NYSEAMERICAN:MAG) as his “desert island pick,” saying it’s a solid producer with two strikes that are expected to be successful this year. He also mentioned the Metals Company (NASDAQ:TMCWW) as a more aggressive choice — it’s focused on deep-sea mining of polymetallic nodules, which Weingarten sees as an up-and-coming industry.

In closing, he left investors with two pieces of advice to consider moving forward.

“The first is if you have (a stock) that bothers you, get rid of it,” he said. “The second thing is if you think that it’s way overvalued and only idiots are buying it, (but) you don’t want to sell it, do one of two things — write calls on it or have trailing stops.”

Watch the interview above for more of his thoughts on gold, silver and the markets.

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Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.

Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.