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S&P 500 Shatters Records: The New Goldilocks Economy · The SPY Trader

• 0:00
  Hello there , market friends !
• 0:02
  I’m your host , Penny Profit , and you are listening to Spy Trader .
• 0:06
  It is a beautiful Thursday afternoon , August 13th , 2026 , and the clock just struck 2:30 pm here on the Pacific coast .
• 0:15
  We are coming to you every few hours to keep your finger on the pulse of the market , and boy , do we have some exciting news to share today .
• 0:23
  The stock market is showing some serious muscle .
• 0:27
  The S&P 500 just hit a brandnew record close of 7,798.99 , up over half a percent .
• 0:37
  We even saw it clear the 7,800 level for the first time ever during the day .
• 0:42
  It is a historic moment for the broad market , and it is largely thanks to a mix of cooling inflation and some heavy hitting in the tech sector .
• 0:51
  Looking at the big picture , the Nasdaq rose 0.81 percent to cross 26,803 , while the Dow Jones edged up slightly .
• 1:00
  While Tech and Industrials are leading the way , Energy is sitting at the bottom of the pile for 2026 as oil prices have finally calmed down following the earlier conflict in Iran .
• 1:11
  The big talk on Wall Street today is what we call disinflation without a recession .
• 1:17
  Basically , things are getting cheaper without the economy crashing .
• 1:22
  The Producer Price Index for July was flat , which was even better than experts expected , and wholesale inflation dropped to 4.7 percent .
• 1:31
  This really takes the pressure off the Federal Reserve .
• 1:34
  Chairman Kevin Warsh and his team have kept interest rates between 3.5 and 3.75 percent , and with this new data , the chances of a rate hike in September have dropped to under 35 percent .
• 1:47
  This is great news for investors who were worried about borrowing costs .
• 1:52
  In company news , Workday shares absolutely soared 18 percent on rumors of a buyout by Silver Lake .
• 1:59
  On the flip side , Cisco Systems had a rough one , dropping over 8 percent because investors are worried about their growth in 2027 .
• 2:09
  We also saw Micron and Sandisk make some great gains as people jumped back into chip stocks , though Amazon slipped a little due to a legal fight over data used for training AI .
• 2:20
  On the smaller side , Cerebras Systems took a big hit after some disappointing revenue numbers .
• 2:26
  So , what should you do with your hardearned money ?
• 2:29
  First , we recommend staying overweight in growth through technology and AI .
• 2:34
  You can do this by looking at the Invesco QQQ Trust or the Technology Select Sector SPDR Fund , also known as XLK .
• 2:42
  The AI buildout is in its middle stages , and with inflation cooling , companies like Micron and NVIDIA are in a goldilocks zone for growth .
• 2:52
  Second , do not ignore the Industrials .
• 2:55
  They have been the surprise stars of 2026 .
• 2:58
  If you want to capture this shift toward domestic manufacturing and automation , consider the Industrial Select Sector SPDR Fund , ticker XLI , or even the Vanguard Total Stock Market ETF , VTI , to make sure you catch those midcap winners .
• 3:15
  Third , it might be time for some defensive positioning in bonds .
• 3:20
  Because the probability of a rate hike is falling , the iShares 20 plus Year Treasury Bond ETF , or TLT , is a great way to lock in yields and protect yourself if the economy slows down later this year .
• 3:34
  We are already seeing the 10year Treasury yield fall to 4.65 percent , making TLT look much more attractive .
• 3:41
  Finally , keep an eye on Real Estate .
• 3:44
  The Vanguard Real Estate ETF , VNQ , is becoming a solid choice for income as the sector stabilizes .
• 3:53
  It actually outperformed the market last month , and as interest rate volatility dies down , these tangible assets are looking like a bargain compared to highflying tech stocks .
• 4:04
  That is all for this update !
• 4:06
  I am Penny Profit , and this has been Spy Trader .
• 4:09
  Keep your head high and your portfolio green .
• 4:12
  I will see you in a few hours !