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AI Power Plays and the Fed’s Big Week · The SPY Trader

• 0:00
  Hello and welcome back to Spy Trader!
• 0:02
  I am your host, Barnaby Bullmarket, and it is a beautiful Tuesday, October 27th, 2026.
• 0:07
  The time is exactly 2:30 pm Pacific, and we have a lot to unpack in today’s market action.
• 0:12
  We are seeing a classic techled rebound today as investors get their gears turning for a big week of corporate earnings and the start of the Federal Reserve’s latest policy meeting.
• 0:22
  The S&P 500, which many of you track through the SPY or VOO ETFs, is up over point six percent today, sitting at 7,723.
• 0:30
  That is just about one point two percent shy of its alltime high.
• 0:35
  The Nasdaq, or the QQQ, is really the star of the show, up over one percent thanks to a massive surge in artificial intelligence and semiconductor stocks.
• 0:44
  Meanwhile, the Dow Jones is lagging a bit, up only point one six percent because of some struggles in industrial companies.
• 0:52
  The big news driving the tech sector involves Broadcom, ticker AVGO.
• 0:56
  They climbed four percent after announcing a landmark sixtythree billion dollar financing deal to provide AI accelerators to Anthropic.
• 1:05
  To add even more excitement, Anthropic filed for its IPO today!
• 1:09
  This news has breathed fresh life into the Magnificent Seven and other chipmakers like Nvidia.
• 1:14
  In the financial world, SoFi Technologies, ticker SOFI, had a spectacular day, surging fifteen percent after a huge earnings beat in their consumer lending department.
• 1:24
  It shows that even with higher interest rates, people are still looking for financial services.
• 1:29
  On the flip side, Boeing, ticker BA, had a rough go of it, dropping ten percent after missing delivery targets and lowering their outlook for the rest of the year.
• 1:38
  Real estate is also feeling the pinch today.
• 1:41
  The Vanguard Real Estate ETF, ticker VNQ, is under pressure because the 10Year Treasury yield is hovering right at 4.99 percent.
• 1:48
  When those yields stay high, it acts like gravity on stock valuations and makes borrowing more expensive for property owners.
• 1:56
  Speaking of interest rates, the Federal Reserve began its twoday meeting today.
• 2:00
  While most experts don't expect a rate hike tomorrow, that September inflation number of 3.7 percent was a bit hotter than we liked, which has some traders worried about a potential hike in December.
• 2:11
  We also have the U.S. midterm elections just six days away, and companies like Hilton are already warning that the political uncertainty might make consumers a bit more cautious with their spending.
• 2:21
  Looking abroad, it was a tough day for the Brazilian market, with the Bovespa tumbling nearly fourteen percent after President Lula’s reelection.
• 2:28
  It is a good reminder of the risks of putting too much of your portfolio into a single emerging market.
• 2:34
  So, what is the game plan for today?
• 2:37
  For those of you looking for growth, the Broadcom and Anthropic deal proves that the AI boom is turning into real infrastructure and real partnerships.
• 2:45
  You might want to stick with the Invesco QQQ Trust or the Technology Select Sector SPDR, ticker XLK.
• 2:51
  Broadcom remains a solid pick and shovel play for this AI buildout.
• 2:54
  If you are looking for income and a bit more stability, those high Treasury yields are actually creating an entry point we haven't seen in years.
• 3:02
  You could look at the iShares 20 Year Treasury Bond ETF, ticker TLT, if you think yields have peaked, or the Vanguard Total Bond Market ETF, ticker BND, for a more diversified approach.
• 3:12
  For a defensive move against inflation and election jitters, gold is looking shiny at over four thousand dollars an ounce.
• 3:19
  The SPDR Gold Shares, ticker GLD, is a classic way to hedge your bets right now.
• 3:24
  Finally, I would suggest staying light on real estate and highdebt industrials.
• 3:29
  Until the Fed gives us a clear sign that they are done raising rates, the Vanguard Real Estate ETF and companies like Boeing are going to face uphill battles with their debt costs.
• 3:39
  That is all for this afternoon's update.
• 3:41
  I am Barnaby Bullmarket, and this has been Spy Trader.
• 3:44
  Keep your eyes on the charts and your feet on the ground.
• 3:47
  See you next time!