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Bad News is Good News: Markets Hit New Heights · The SPY Trader

• 0:00
  Hello everyone and welcome back to the Spy Trader podcast !
• 0:04
  I am your host Sunny Sideup .
• 0:06
  It is currently 2:30 pm on Friday , August 7th , 2026 , here in the Pacific time zone .
• 0:14
  We are wrapping up a wild week with a massive relief rally that has pushed our favorite indices to brandnew heights .
• 0:21
  If you are looking at your screen right now , you will see plenty of green to start your weekend .
• 0:27
  The S&P 500 , which we track through the SPY ETF , climbed 0.6 percent to reach an alltime high of 7,757.64 .
• 0:37
  The techheavy Nasdaq , or QQQ , really stole the show today by jumping 1.3 percent to 26,690.62 .
• 0:46
  Even the Dow Jones , tracked by DIA , rose to 54,036.93 .
• 0:53
  It is a party on Wall Street , and the reason might surprise you .
• 0:57
  The July Employment Report came in much weaker than expected , showing a loss of 23,000 jobs .
• 1:04
  Usually , fewer jobs sounds like bad news , but in this market , it is a sign that the Federal Reserve , led by Chair Kevin Warsh , might finally hit the brakes on interest rate hikes or even give us a rate cut soon .
• 1:19
  This bad news is good news play is the main engine behind today's recordbreaking run .
• 1:26
  Looking deeper into the sectors , technology is rebounding beautifully after its July correction .
• 1:32
  NVIDIA , ticker NVDA , rose 2.3 percent today , and Broadcom , ticker AVGO , gained 1.7 percent as investors jumped back into the AI infrastructure trade .
• 1:44
  We also saw some massive moves in individual stocks like Palantir , ticker PLTR , which surged 10 percent on a big upgrade and strong AI demand .
• 1:55
  Airbnb , ticker ABNB , was another superstar today , jumping over 15 percent after a huge earnings beat .
• 2:03
  However , it is not just about the big tech names .
• 2:06
  We are seeing a broadening rally where even the smallcaps in the Russell 2000 , ticker IWM , gained over one percent .
• 2:15
  Healthcare is another standout , with the XLV reaching record highs as investors look for a mix of stability and growth .
• 2:23
  For those looking to put some money to work , I have a few ideas based on today's action .
• 2:28
  First , if you believe the Fed is done raising rates because of that weak labor data , take a look at the iShares 20 plus Year Treasury Bond ETF , ticker TLT .
• 2:39
  As yields fall , TLT prices tend to rise , making it a great play for a cooling economy .
• 2:45
  For a tactical entry into tech , NVIDIA remains the gold standard for AI , and today's jump suggests the recent momentum unwind is over .
• 2:55
  If you prefer a bit more safety given the ongoing conflict between the U.S.
• 2:59
  and Iran , which has Brent Crude sitting at 83.38 , consider adding some SPDR Gold Shares , ticker GLD .
• 3:10
  Gold is a classic safehaven asset that often performs well when geopolitical tensions are high .
• 3:17
  For those who want defensive growth , the Health Care Select Sector SPDR Fund , ticker XLV , is a fantastic choice right now , especially with the 2.44 billion dollars we saw flow into that sector last month .
• 3:32
  And of course , for the longterm savers , you cannot go wrong with broad market funds like the Vanguard S&P 500 ETF , ticker VOO , or the Total Stock Market ETF , ticker VTI .
• 3:46
  Despite the drama of the jobs report , corporate earnings are looking solid .
• 3:51
  That is all for this afternoon's update .
• 3:53
  I am Sunny Sideup , and this has been Spy Trader .
• 3:57
  Have a wonderful weekend and happy trading !