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The AI Divide: Market Peaks and Growth Shifts · The SPY Trader

• 0:00
  Good morning , traders !
• 0:02
  It is 6 am on Saturday , April 25th , 2026 .
• 0:06
  I am your host , Sunny Sideup , and you are listening to Spy Trader .
• 0:10
  It has been a historic and wild week on Wall Street , so let’s dive right into what happened and what it means for your portfolio .
• 0:18
  The S&P 500 , which we track through the SPY ETF , closed at an alltime high of 7,165.08 this past Friday .
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  We also saw the Nasdaq , or the QQQ , jump 1.6 percent as semiconductor stocks absolutely took off .
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  The big story of the week was Intel .
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  Ticker INTC soared over 23 percent on Friday alone , marking its best day since 1987 after a massive profit report .
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  However , it was not all sunshine .
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  The Dow slipped slightly , and companies like Salesforce , ticker CRM , fell nearly 18 percent as investors get more selective about which companies are actually making money from AI .
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  In the broader world , we are seeing a real tugofwar .
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  Geopolitical tensions in the Middle East saw crude oil briefly top 107 dollars a barrel , which pushed inflation up to 3.3 percent .
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  This makes it likely that the Federal Reserve will keep interest rates right where they are , between 3.5 and 3.75 percent , at their meeting next week .
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  Now for some analysis .
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  What we are seeing is a market split in two .
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  On one side , you have the technology sector leading the charge , powered by AI hardware .
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  On the other , defensive sectors like health care and banks are struggling .
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  UnitedHealth , for example , has lost half its value over the last year .
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  It is clear that the market is rewarding builders of AI infrastructure while punishing software companies that haven't proven their worth yet .
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  So , what should you do with your money ?
• 1:59
  For growth , we recommend sticking with AI hardware through the Invesco QQQ Trust or the Technology Select Sector SPDR , known as XLK .
• 2:09
  While prices are high , the earnings from companies like Intel and Nvidia show that the growth is real .
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  If you are looking for diversification , take a look at the Vanguard FTSE Emerging Markets ETF , ticker VWO .
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  If we see a peace deal in the Middle East , oil prices will drop , which acts like a giant tax cut for countries like India and South Korea .
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  Plus , VWO is much cheaper right now than the U.S.
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  market .
• 2:38
  For those of you looking for steady income , we suggest being cautious with real estate .
• 2:44
  The Vanguard Real Estate ETF , or VNQ , is facing a lot of pressure from high interest rates .
• 2:51
  Instead , look at ShortTerm Treasury ETFs like VGSH .
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  You can get a safe yield of over 3.6 percent without the drama of the housing market .
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  Finally , keep an eye on Gold via ticker GLD .
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  If those peace talks fail , gold remains the best hedge against uncertainty .
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  That is all for this morning's update .
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  Stay sharp , stay informed , and have a wonderful weekend !