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Market Crossroads: Tech Slumps and Record Highs · The SPY Trader

• 0:00
  Welcome back to the Spy Trader podcast .
• 0:03
  I am your host , Penny Pincher , and it is a pleasure to be with you as we wrap up a wild month .
• 0:09
  It is currently 2:30 pm on Tuesday , June 30th , 2026 , in the Pacific time zone .
• 0:16
  We have a lot to cover today because the market is giving us some very mixed signals as we head into the second half of the year .
• 0:23
  First , let's look at the big picture .
• 0:27
  The Dow Jones Industrial Average just hit a brand new alltime high of 52,319.20 .
• 0:35
  That is a massive milestone .
• 0:37
  While the S&P 500 rose point eight percent and the Nasdaq climbed one and a half percent today , do not let those green numbers fool you into thinking June was easy .
• 0:48
  This month was a total gut check , especially for the tech sector .
• 0:53
  We saw the Magnificent Seven , which include heavy hitters like Nvidia , Microsoft , and Apple , lose a staggering 2.3 trillion dollars in market value this month alone .
• 1:05
  Microsoft actually officially entered a bear market , dropping twenty percent in June as people started worrying about the huge seven hundred billion dollar price tag the industry is paying for AI infrastructure .
• 1:19
  On a brighter note , Intel rose six percent today , which might mean the chipmakers are finally starting to find their footing .
• 1:26
  Over in the world of big deals , Rocket Lab announced they are buying Iridium Communications for eight billion dollars .
• 1:34
  This is a huge move that makes them a serious challenger to SpaceX.
• 1:37
  We also heard from Nike after the bell .
• 1:40
  They beat revenue estimates , but their stock dropped three and a half percent in afterhours trading because sales in China were quite weak .
• 1:49
  Now , for some analysis .
• 1:51
  We are currently living in what people are calling the Warsh Pivot .
• 1:54
  Our new Fed Chair , Kevin Warsh , is taking a very firm stance on inflation , focusing on price stability above all else .
• 2:02
  With PCE inflation revised up to 3.6 percent , the Fed is keeping rates between 3.5 and 3.75 percent , but they have signaled they are ready to hike them further if prices do not cool down .
• 2:17
  Thankfully , a peace agreement between the U.S.
• 2:19
  and Iran has reopened the Strait of Hormuz , bringing Brent crude oil down to about 73 dollars a barrel , which should help ease some of that inflation pressure in July .
• 2:31
  Because of this uncertainty , we are seeing a lot of investors move into defensive areas like Healthcare .
• 2:39
  The Health Care Select Sector SPDR Fund , or XLV , has seen huge inflows because it offers a steady 1.7 percent dividend and is way less volatile than tech right now .
• 2:50
  So , what should you do with your money ?
• 2:52
  Here are a few ideas based on today's data .
• 2:55
  Strategy A is a tactical buy on the tech dip .
• 2:58
  If you have some extra cash , Microsoft or the Invesco QQQ Trust are worth a look .
• 3:04
  Microsoft is sitting at a 52week low and looks oversold .
• 3:09
  Despite the June slump , these big tech companies still represent 27 percent of the S&P 500's total earnings power .
• 3:17
  Buying the QQQ here could set you up for a nice relief rally in July .
• 3:22
  Strategy B is all about playing defense .
• 3:26
  If you are worried about the Fed being hawkish , look at the Health Care Select Sector SPDR Fund , ticker XLV .
• 3:34
  It is a stable choice with top holdings like Eli Lilly and UnitedHealth that tend to do well regardless of what the economy is doing .
• 3:42
  Strategy C is for those who want some growth in the space economy .
• 3:47
  Rocket Lab , ticker RKLB , is transforming from just a rocket launcher into a fullservice space infrastructure firm with that Iridium deal .
• 3:56
  This creates a much more predictable stream of income .
• 3:59
  Finally , Strategy D is broad market diversification .
• 4:04
  If the Nike slump or the tech volatility makes you nervous , consider the Vanguard Total Stock Market ETF , or VTI .
• 4:13
  It lets you capture the recordbreaking success of the Dow while protecting you from a crash in any single sector .
• 4:20
  That is all for this afternoon .
• 4:22
  Stay sharp , keep an eye on those inflation numbers , and I will see you next time on Spy Trader .