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Transcript

Breaking the Streak: Moderna’s Historic Surge and the Treasury Safety Net · The SPY Trader

• 0:00
  Hello everyone and welcome back to the Spy Trader podcast !
• 0:04
  I am your host , Barnaby Bumpernickle , coming to you live at 2:30 pm on Wednesday , August 19th , 2026 , in the Pacific time zone .
• 0:14
  We are having a much brighter afternoon than we have seen lately , as the U.S.
• 0:18
  stock market is finally showing some real resilience .
• 0:22
  We have officially snapped a threesession losing streak with a broadbased rally that has investors breathing a sigh of relief .
• 0:29
  To give you the quick numbers , the S&P 500 , or SPY , rose about zero point two one percent to close near 7,707 .
• 0:39
  The Dow Jones Industrial Average gained about 120 points , and the Nasdaq edged up zero point one six percent .
• 0:47
  The big story today was a surprise move from the U.S.
• 0:50
  Treasury Department .
• 0:52
  They announced they are doubling their longterm bond buybacks from two billion to at least four billion dollars .
• 0:59
  This acted like a safety net for the market , lowering the 10year yield to four point six four percent and shifting the mood from defensive to a fullon riskon attitude .
• 1:09
  Over in the sectors , Health Care was the absolute superstar .
• 1:13
  Shares of Moderna , ticker MRNA , surged a historic 177 percent today !
• 1:19
  That is not a typo .
• 1:21
  They announced positive Phase 3 results for a personalized mRNA cancer vaccine they are working on with Merck .
• 1:29
  Merck itself rose nearly ten percent on the news .
• 1:32
  This is a massive breakthrough that has everyone looking at biotech as a major growth engine again .
• 1:38
  We also saw some muscle from the consumer .
• 1:40
  Target , ticker TGT , jumped nearly ten percent after beating expectations and reporting that folks are still coming through their doors , with store traffic up three point six percent .
• 1:52
  It seems the U.S.
• 1:53
  consumer is still active , just looking for a bit more value .
• 1:58
  On the flip side , things were a bit more mixed in Tech .
• 2:02
  While Apple and Amazon saw gains , Nvidia fell slightly as investors keep debating if its massive data center costs are worth the current valuation .
• 2:11
  And we have to keep an eye on Energy .
• 2:13
  Crude oil is creeping up toward 86 dollars a barrel because of rising tensions in the Middle East , specifically between the UAE and Iran .
• 2:22
  This is helping names like Enterprise Products Partners , ticker EPD , which are seeing record volumes .
• 2:30
  Now , looking at the macro picture , even though the Treasury is helping out , the Federal Reserve is still sounding pretty tough .
• 2:37
  Minutes from their July meeting show they are ready to raise rates again if inflation , which is currently at three point three six percent , doesn't start heading toward that two percent goal .
• 2:47
  However , a weakening U.S.
• 2:49
  Dollar is actually helping international markets , with the Emerging Markets ETF , ticker VWO , rising today .
• 2:57
  So , what does this mean for your portfolio ?
• 3:01
  Here are my recommendations .
• 3:03
  First , consider the Vanguard Total Stock Market ETF , ticker VTI .
• 3:08
  While tech giants like Microsoft and Nvidia are looking a bit expensive right now with high pricetoearnings ratios , VTI gives you a broader slice of the whole market , which is exactly where we saw strength today .
• 3:22
  Second , look at the Health Care Select Sector SPDR , ticker XLV .
• 3:28
  That Moderna breakthrough is a gamechanger for the whole industry , and XLV is a great way to capture that growth without putting all your eggs in one basket .
• 3:37
  For those looking for stability and income , I like the iShares 20 plus Year Treasury Bond ETF , ticker TLT .
• 3:45
  The Treasury’s buyback program is a direct boost for these bonds , and it is currently offering a nice four point seven percent yield .
• 3:54
  I’d also suggest keeping a small five percent slice in Gold , ticker GLD , as a hedge against those geopolitical tensions we are seeing overseas .
• 4:04
  Finally , if you want a piece of that resilient consumer , Target is looking like a winner .
• 4:10
  Ticker TGT is successfully winning back priceconscious shoppers and has the momentum from their recent guidance raise .
• 4:17
  That is it for this edition of Spy Trader !
• 4:20
  Keep your eyes on the charts and your head in the game .
• 4:24
  I am Barnaby Bumpernickle , and I will check back in with you in a few hours .
• 4:28
  Happy trading !