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Navigating the Great Transition · The SPY Trader

• 0:00
  Good morning and welcome to another episode of Spy Trader !
• 0:04
  I’m your host , Barnaby Bullseye , coming to you live at 6 am on Monday , April 27th , 2026 .
• 0:11
  Whether you are just waking up on the West Coast or already deep into your morning commute , I am so glad you joined me for our look at the markets this morning .
• 0:19
  We’ve got a lot to unpack as we head into one of the most pivotal weeks of the year .
• 0:24
  First , let’s talk about where we stand .
• 0:28
  This past Friday , we saw the S&P 500 , which we track through the SPY ETF , close at a stunning record high of 7,165.08 .
• 0:39
  The Nasdaq100 , or the QQQ , also hit its own alltime peak at 24,836.60 .
• 0:48
  It was quite a celebration !
• 0:50
  However , as we look at the futures this Monday morning , things are a bit more subdued .
• 0:56
  Both the S&P 500 and Nasdaq futures are edging lower , down about 0.17% and 0.13% respectively .
• 1:06
  Why the change in mood ?
• 1:08
  Well , peace talks between the U.S.
• 1:10
  and Iran have hit a snag , and that has traders feeling a little on edge as oil prices start to climb .
• 1:17
  In the corporate world , it’s a tale of two tech giants .
• 1:21
  We saw Intel , ticker INTC , absolutely rocket higher by 23.6% in a single day after a blowout earnings report .
• 1:31
  It seems the AIled chip boom is very much alive .
• 1:34
  On the flip side , Tesla , ticker TSLA , had a rougher ride .
• 1:39
  Despite beating adjusted earnings , shares fell 6.1% because investors are looking at the massive twentybilliondollar price tag for its Terafab AI facility and those longawaited robotaxis .
• 1:53
  Now , let’s dive into some analysis .
• 1:55
  We are currently in the middle of what people are calling the Great Transition .
• 1:59
  This Wednesday , the Federal Reserve meets , and it’s likely Jerome Powell’s final meeting before Kevin Warsh takes the reins in May .
• 2:08
  This is a big deal because Warsh is known to be more of a hawk , meaning he’s often more inclined to raise interest rates to keep a lid on inflation .
• 2:18
  Speaking of inflation , March CPI jumped to 3.3% , largely because Brent crude oil has crossed that 100dollarperbarrel mark due to tensions near the Strait of Hormuz .
• 2:30
  We’re even seeing predictions that April could hit 3.6% .
• 2:35
  This sticky inflation makes it unlikely we’ll see rate cuts anytime soon .
• 2:40
  We also have a Magnificent week for earnings ahead .
• 2:43
  Five of the Magnificent Seven report this week .
• 2:47
  Alphabet , Meta , Amazon , and Microsoft all report Wednesday after the bell , with Apple following on Thursday .
• 2:54
  Everyone is looking for one thing : AI monetization .
• 2:58
  The market wants to see that all those billions spent on AI infrastructure are actually turning into revenue .
• 3:04
  So , what are we doing with our portfolios this week ?
• 3:08
  Here are four tactical recommendations to consider .
• 3:11
  First , consider looking outside the U.S.
• 3:13
  for a moment .
• 3:15
  Right now , U.S.
• 3:16
  largecap stocks are at their most expensive levels in 150 years .
• 3:21
  Meanwhile , international markets are trading at a 35% discount .
• 3:26
  You might want to increase your exposure to international equities using ETFs like the Vanguard Total International Stock ETF , ticker VXUS , or the Vanguard FTSE Developed Markets ETF , ticker VEA .
• 3:40
  These have been outperforming lately as investors look for better deals in Europe and Japan .
• 3:46
  Second , stay focused on quality in the semiconductor space .
• 3:50
  Even with high prices , the AI infrastructure shift is a structural change , not just a passing fad .
• 3:57
  If you see a dip in the VanEck Semiconductor ETF , ticker SMH , or the broader Technology Select Sector SPDR , ticker XLK , it might be a good time to maintain your exposure .
• 4:10
  Focus on the hardware winners like Intel or Nvidia that are building the foundation of this Neocloud Revolution .
• 4:17
  Third , let’s look at fixed income .
• 4:20
  With inflation rising and a hawkish Fed Chair on the way , longterm bonds are facing some headwinds .
• 4:26
  However , with 10year Treasury yields near 4.5% , they are providing great income .
• 4:34
  I’d treat the iShares 20 Year Treasury Bond ETF , ticker TLT , or the iShares Core U.S.
• 4:40
  Aggregate Bond ETF , ticker AGG , as a hold or accumulate for that income , but maybe hold off on being too aggressive until we see how the new Fed leadership acts .
• 4:52
  Finally , don't forget your defensive hedges .
• 4:55
  The conflict in the Middle East is a wildcard .
• 4:58
  If things don't settle down , oil could head toward 120 dollars .
• 5:03
  To protect yourself against energydriven inflation , you might consider a tactical position in SPDR Gold Shares , ticker GLD , or a small allocation to the Energy Select Sector SPDR , ticker XLE , which benefits from higher prices for companies like Exxon Mobil .
• 5:21
  That’s it for this edition of Spy Trader !
• 5:23
  It’s going to be a wild week , but we’ll be here to walk through it with you .
• 5:27
  Stay smart , stay diversified , and I’ll talk to you in a few hours .
• 5:31
  Happy trading !