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7,000 and Counting: Navigating New Market Peaks · The SPY Trader

• 0:00
  Good morning , market enthusiasts !
• 0:02
  I am your host , Buckleup Buddy , and you are listening to Spy Trader .
• 0:07
  It is 6 am on Saturday , May 2nd , 2026 , here on the Pacific coast .
• 0:13
  We are coming to you every few hours to keep your portfolio on the right track , and boy , do we have a historic morning to talk about !
• 0:21
  The sun is rising on a financial landscape that just saw one of the most incredible months in market history .
• 0:28
  This past April was a absolute barnburner , and as of yesterday , Friday , May 1st , we have officially entered uncharted territory .
• 0:36
  The S&P 500 crossed that massive 7,000point psychological milestone for the very first time , and the Nasdaq Composite soared past 25,000 .
• 0:47
  It is a celebratory mood on Wall Street , but beneath the surface of these alltime highs , there are some very interesting stories developing that you need to know about .
• 0:57
  Let's dive into the news .
• 0:59
  The big story this week was the Federal Reserve's meeting on April 29th .
• 1:04
  It was a bit of an emotional one as it marked Jerome Powell’s final meeting as Chair .
• 1:09
  They decided to hold the federal funds rate steady at 3.50% to 3.75% .
• 1:15
  However , the committee was split with four dissents , and with March inflation data coming in at 3.5%—well above that 2% target — it looks like high rates are sticking around for a while .
• 1:29
  We might not see a rate cut until late 2026 or even 2027 .
• 1:34
  On the bright side , some geopolitical tension eased as Iran sent a new peace proposal , helping WTI Crude prices cool down to about 103 a barrel .
• 1:46
  Looking at individual companies , Alphabet was the week's undisputed champion .
• 1:51
  Their shares jumped nearly 10% because they are actually showing us the money when it comes to AI .
• 1:58
  Apple also had a great day Friday , up 4% thanks to incredible profit margins , even if they sold a few fewer iPhones than expected .
• 2:07
  On the flip side , Meta and Microsoft took a bit of a tumble .
• 2:11
  Investors got nervous about how much money they are spending on AI infrastructure , which just goes to show that the market is starting to get picky about who is winning the AI race .
• 2:22
  And we can't forget Berkshire Hathaway !
• 2:25
  At their annual meeting today , they reported that their cash pile has reached a staggering 397.4 billion .
• 2:34
  That is a lot of gas in the tank for Greg Abel and his team .
• 2:38
  So , what does this mean for your trading strategy ?
• 2:41
  While the headline numbers look great , the market is feeling a bit topheavy .
• 2:46
  My first recommendation is to broaden your horizons .
• 2:50
  Instead of just holding the S&P 500 through the SPY ETF , consider the Vanguard Total Stock Market ETF , ticker symbol VTI .
• 3:00
  This gives you exposure to mid and smallcap stocks that haven't run up quite as fast as the tech giants and might be ready to catch up .
• 3:07
  Speaking of tech , be tactical .
• 3:09
  The market wants proof of ' AI Return on Investment .
• 3:12
  ' We like Alphabet , ticker GOOGL , because their cloud growth is accelerating right now .
• 3:19
  If you want a diversified tech play , the Invesco QQQ Trust is still the gold standard , but for a more focused bet on software leaders , the Technology Select Sector SPDR , or XLK , is a great tool .
• 3:33
  Now , because the Fed is in a period of transition and consumer spending is showing a little fatigue — Q1 GDP only grew at 2.0%—it is smart to play a little defense .
• 3:45
  I recommend looking at the Health Care Select Sector SPDR , ticker XLV .
• 3:51
  Companies like Eli Lilly are performing strongly , and healthcare tends to hold up well if the broader economy hits a speed bump .
• 3:59
  Also , don't be afraid to follow Berkshire Hathaway’s lead .
• 4:03
  With a record cash pile in BRK.B , they are telling us that value is hard to find at these record highs .
• 4:09
  It is perfectly okay to keep some of your portfolio in cash or shortterm equivalents like the Vanguard Total Bond Market ETF , known as BND .
• 4:20
  This gives you the stability to jump on opportunities if we see a pullback .
• 4:24
  For those looking for income , keep an eye on the iShares 20 Year Treasury Bond ETF , or TLT .
• 4:31
  With yields near 4.4% , it's becoming an attractive spot for longterm investors .
• 4:37
  That is it for this edition of Spy Trader !
• 4:40
  Remember to keep your eyes on the data and your feet on the ground .
• 4:44
  I'm Buckleup Buddy , wishing you a fantastic Saturday and happy trading !