Strider Elass (@StriderElass) header
Strider Elass (@StriderElass) profile picture

Senior Economist at First Trust Portfolios. Love Jesus, family, investing, real estate, soccer and golf very much.

San Diego, CA
Joined April 2009
Photo by Strider Elass (@StriderElass)Photo by Strider Elass (@StriderElass)Photo by Strider Elass (@StriderElass)Photo by Strider Elass (@StriderElass)Photo by Strider Elass (@StriderElass)Photo by Strider Elass (@StriderElass)Photo by Strider Elass (@StriderElass)Photo by Strider Elass (@StriderElass)Photo by Strider Elass (@StriderElass)Photo by Strider Elass (@StriderElass)
One of my favorite economists, Frederic Bastiat. Written in the 1800's just as applicable today: "Between a good and a bad economist, this constitutes the whole difference—the one takes account of the visible effect; the other takes account both of the effects which are seen and also of those which it is necessary to foresee. Now, this difference is enormous, for it almost always happens that when the immediate consequence is favorable, the ultimate consequences are fatal, and the converse. Hence it follows that the bad economist pursues a small present good, which will be followed by a great evil to come, while the true economist pursues a great good to come, at the risk of a small present evil."
3
1
14
2,608
Strider Elass retweeted
Interesting
The governor-elect of Texas, Gina Hinojosa, has explicitly said that all currently permitted datacenters in Texas will be allowed to finish construction. This essentially covers all of the 2027 and likely well into 2028. She is going to pass laws that ensure that all *newly* permitted datacenters going forward for delivery in 2028/2029 will pay taxes, commit to no increase in power prices for consumers, don’t impact water availability for people, be constructed with union labor and give “Texans a seat at the table.” Sounds reasonable. She doesn’t want to lose a lot of good blue collar jobs and property taxes for small towns in rural Texas. Datacenter commentary starts at 6:30 in this interview. Also attaching her official campaign position from her website in the next post. Sidenote: After watching a bunch of her speeches and interviews, I do think she is a political talent and probably has a future in national politics. youtu.be/D-T6H3b8ZeE?is=mEWu…
3,773
4,039
314
54,401
7,421,605
Strider Elass retweeted
From 2020 to 2022, the US came up with this crazy idea to borrow $5 trillion and pay people to sit at home. If the market had funded it, Treasury yields on that debt would have been 4-6%. But Powell and the Fed funded it at 0%. I’d say that’s when “Fed Independence” collapsed.
25
67
6
352
11,057
Strider Elass retweeted
One of the things the data analysts on our side obsessed over was "composition"—whether the electorate looked close enough to 2024 for Republicans to win. And despite polls that showed a Democrat blowout, the data kept on telling us the same story: in some states turnout was merely OK, in other states it was downright amazing, and in no state was it catastrophic. There was a genuine sense of optimism on our team: our people were showing up. So, I asked the smartest data guy I know, does that mean we're going to shock the world? "No," he told me. "We might do better than the polls suggest. But the data is telling us that a lot of Trump/Vance 2024 voters are pissed and planning to vote for the other guys. Our voters are turning out, but they may not vote for us." Well, that looks prophetic now. Our voters did show up. In Florida, for example, the electorate was 9 points more Republican than Democrat, just a couple points worse than 2024. Undoubtedly there were places we could have done better on turnout. But the main problem is not turnout. The main problem is that many people who voted for Trump/Vance in 2024 voted for Democrats in 2026. There will be a lot of infighting and arguing over what happened and why that is. One of the pollsters I really respect told me that our economic messaging wasn’t sharp enough down the stretch. I’m sure that’s true. But the real reason we lost is obvious to almost everyone. Another pollster—one of the smartest people I know in politics, told me yesterday we’d lose the generic ballot by 13 points. I felt negative going into Tuesday, but even I was shocked by this. In his polling, he saw that a lot of Trump 2024 voters were angry and planning to vote for Democrats. He asked those voters who had abandoned us what would cause them to come back on our team. The top four answers, accounting for nearly all of the responses were: 1) End the war 2) Focus on cost of living/inflation 3) Put America First 4) Change our relationship to Israel Our voters showed up. And the above four reasons are why many of them voted for Democrats. This is according to a pollster who nailed the results. While many spent Monday attacking Rachel Campos Duffy for calling for a diplomatic resolution to the conflict, it turns out her political advice was sound. (She’s also a great person.) In the next few months, there's going to be a lot of gaslighting. Expect to hear any number of establishment politicians say the solution to our woes is amnesty. I'm open to the idea that we should change enforcement—by focusing more on businesses that hire illegal labor, for instance. But anyone pushing amnesty is lying to you. The reason we lost is the war. The president himself said so last night. If you'd like to argue it was worth it, that losing the Senate for the next 6 years was worth it, then do so. Argue it was a worthwhile cost to pay. Agree or disagree, that's at least honest. But everyone knows why we lost. And any honest conversation about where we go from here must start there. I remain hopeful about our country. To the people who are pissed off and want to say, “I told you so”: you’re right, you did tell us so. Take that energy into electing Republicans who share your worldview. To the people who are just pissed at the results, you should be. Let’s take that anger and get back to the work of saving our country.
69,068
30,754
21,147
284,696
72,242,295
Strider Elass retweeted
The SpaceX revenue rocket 🚀 is truly jaw dropping. 🤯 Especially concentrated in AI/SI compute, which Elon builds far faster and bigger than anyone. But you know what’s probably even harder than building gigawatt data centers? 👉 Terrestrial mobile networks. It’s going to take more than some new 800 MHz spectrum. Elon’s correct, however, that with millions of robots and billions of AI agents, we are in for another exaflood of bandwidth demand.
Holy shit, Elon just said @SpaceX could exit 2027 with an ARR of somewhere between $500 billion to $1 trillion. 😱
1
2
9
859
Strider Elass retweeted
This is one of my favorite charts. 📊 Regular gas prices in 🔴 states vs. 🔵 states. Gasoline prices have risen for everyone since the Iran War started in February. There is absolutely no doubt that the blockade in the Strait of Hormuz (which, as of the time I'm writing this, is improving) was the cause. But regardless of recent price trends amidst ongoing geopolitical tensions, prices tend to be cheaper than the national average and median (a more appropriate metric) in red states. On the other hand, blue states tend to run more expensive, the exceptions of course being Colorado (a surprise to me), Maryland (barely), and my home state of Virginia. These differences primarily boil down to gas tax rates. Democrat-run states have higher tax rates because, well, Democrats like higher taxes. This should not be a shocker to anyone. California takes the cake, though. The gas tax rate of $0.63 / gallon is the highest in the United States, and environmental regulations (e.g., cap-and-trade and their low-carbon fuel standard), which add another $0.21 to $0.26 / gallon, impose significant burdens on consumers. Assuming that you drive a vehicle with a 26-gallon tank and fill up every 1.5 weeks, on average, Californians spend ~$2,335.36 more per year on gas than Indianians. Left-wing energy policies are nuts.
96
521
45
1,845
52,736
Strider Elass retweeted
Anduril is investing $3.7B into Arsenal-2. The next great American Shipyard.
579
2,613
558
28,817
4,809,051
Who would have thought?!
So you want to “tax the rich”, do ya? The LA “Mansion Tax” in its first 3 years has resulted in: * a revenue DECREASE of $452 million * 9100 new home constructions blocked (1000 of which were “affordable housing”) * 16,650 full time construction jobs lost
11
1,213
Great chart from New Edge Wealth’s @CameronDawson. Look at how far earnings have pulled away from nominal GDP.
6
1
10
1,068
Great question
Have you considered borrowing less to get yields down?
1
1
7
838
Strider Elass retweeted
Major news, given China’s heretofore near monopoly on lithium refining.
First Cybertruck made with 4680 cells containing lithium from our Gulf Coast Lithium Refinery
2
1
10
814
EARNINGS UPDATE FOR ANOTHER ABSOLUTELY MASSIVE QUARTER: 495/500 companies in the S&P 500 have reported for Q2. 86.3% have surprised to the upside. Earnings are +33.9% from a year ago. (Yes not a typo!) Overall, consensus was estimating +23.2% YOY at start. Revenues are +15.7% YOY vs. +12.1% estimate at the start. $SPY $SPX $QQQ $VIX #SP500 #SPX500
1
2
11
665
Tariff revenue still coming in strong. So far this year, $189 billion has been collected in customs duties, putting 2026 on pace for the largest year of customs duty revenue in history.
9
395
EARNINGS UPDATE FOR ANOTHER ABSOLUTELY MASSIVE QUARTER: 468/500 companies in the S&P 500 have reported for Q2. 85.7% have surprised to the upside. Earnings are +32.5% from a year ago. (Yes not a typo!) Overall, consensus was estimating +23.2% YOY at start. Revenues are +15.4% YOY vs. +12.1% estimate at the start. $SPY $SPX $QQQ $VIX #SP500 #SPX500
7
2
45
3,969
Bloomberg ranked the First Trust Economics Team Second for Top Forecasters of the US Economy in the 2nd Quarter. @wesbury @BobStein_FT
2
2
19
868
Strider Elass retweeted
Elon Musk has created massive wealth. It’s wealth, it’s not cash. It represents an accumulation of assets that are being used to create goods and services for all. Some want to take this and give it away to be consumed by others. It’s called “eating your seed corn.” A perfect way to guarantee a smaller crop, less growth and lower standards of living for everyone. Socialism creates more equality by making “everyone” poor. Except for the leaders, of course, who will somehow take more from this system.
25
76
9
451
17,333
EARNINGS UPDATE FOR AN ABSOLUTELY MASSIVE QUARTER: 494/500 companies in the S&P 500 have reported for Q1. 83.4% have surprised to the upside. Earnings are +29.6% from a year ago. Overall, consensus was estimating +12.4% YOY at start. Revenues are +11.6% YOY vs. +9.4% estimate at the start. $SPY $SPX $QQQ $VIX #SP500 #SPX500
2
11
506
Having @Starlink on @united flights is an absolute game changer. It’s amazing how fast and reliable it is. Any other flight is maybe 50% it actually works and when it does it’s incredibly slow. Take now, I have no idea if this is actually going to get published as the internet on this flight is just terrible. @starlink needs to be deployed to all flights and airlines
3
8
2,655
Strider Elass retweeted
What in the world? The American Federation of Teachers and an advisor to Union-affiliated pension funds ( neither of which are investors in SpaceX) are both asking the SEC to investigate Musk World. The Lilliputians keep stringing thread. Impede and harass strategy.
8
11
101
5,187
Strider Elass retweeted
"Data center expansion is not currently the predominant driver of increased electricity prices in U.S. states" spglobal.com/ratings/en/regu…
20
94
29
512
81,356