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Dow Hits 50K: Navigating the Great Tech Rotation · The SPY Trader

• 0:00
  Good morning , traders and savers !
• 0:02
  Welcome to another episode of Spy Trader .
• 0:05
  I am your host , Barnaby Bucks , and it is officially 5 am here on the Pacific Coast this Wednesday , February 11th , 2026 .
• 0:15
  We have got a lot of movement in the markets this morning , so grab your coffee and let us dive into the numbers .
• 0:21
  The headline story today is a tale of two markets .
• 0:25
  While the Dow Jones Industrial Average is celebrating record highs , closing yesterday at 50,179.02 , our tech favorites are feeling the heat .
• 0:36
  The Nasdaq Composite slid about 0.6 percent to 23,099.18 as investors start to worry about the massive costs of the Artificial Intelligence race .
• 0:49
  We are seeing a big shift into the tangible economy .
• 0:53
  Energy and Industrials are leading the way , while technology and financials are taking a back seat .
• 0:59
  Speaking of financials , LPL Financial saw a steep drop of over 8 percent this week .
• 1:04
  Why ?
• 1:05
  Well , new AIpowered tax tools from companies like Altruist are making traditional models look a bit dusty .
• 1:12
  In the macro world , all eyes are on the delayed January Jobs Report coming out today .
• 1:17
  We are expecting a soft number , maybe 55,000 to 70,000 new jobs .
• 1:24
  This comes as December retail sales were completely flat , which suggests the American consumer might be hitting the brakes .
• 1:31
  On the corporate side , it is a mixed bag .
• 1:35
  Datadog surged 17 percent on great earnings , showing that AI infrastructure is still a winner .
• 1:41
  But Google had to sell 20 billion dollars in bonds to fund its AI expansion , which is a massive bill to foot .
• 1:48
  We also saw Becton Dickinson drop 17.2 percent on a weak outlook .
• 1:54
  Today , keep an eye on earnings from Cisco , McDonald's , and Shopify for more clues on how businesses and consumers are actually spending .
• 2:02
  So , what is the move ?
• 2:04
  First , think about diversifying beyond the big tech names .
• 2:08
  The Russell 2000 is already up 6.7 percent this year , so looking at the Vanguard Total Stock Market ETF , ticker VTI , or the iShares Russell 2000 ETF , ticker IWM , could help you capture that smallcap momentum .
• 2:25
  Second , look at the tangible growth sectors .
• 2:27
  The Industrial Select Sector SPDR Fund , ticker XLI , and the Energy Select Sector SPDR Fund , ticker XLE , are showing much better relative strength than the techheavy QQQ right now .
• 2:40
  Third , let us play some defense .
• 2:42
  With retail sales stalling , the Health Care Select Sector SPDR Fund , ticker XLV , is a smart play .
• 2:49
  Look at companies like Quest Diagnostics , ticker DGX , which have shown great resilience .
• 2:55
  Finally , since the Fed is holding rates between 3.5 and 3.75 percent , it is a good time for fixed income .
• 3:03
  Consider the Vanguard Total Bond Market ETF , ticker BND , for stability , or the iShares 20 plus Year Treasury Bond ETF , ticker TLT , if you want to hedge against a cooling economy .
• 3:17
  That is it for this morning's update .
• 3:19
  Stay smart out there and I will see you in a few hours !