Latest / The SPY Trader / Market Milestones and the AI Reality Check

Transcript

Market Milestones and the AI Reality Check · The SPY Trader

• 0:00
  Good morning and welcome to another edition of Spy Trader !
• 0:04
  I am your host , Barnaby Bull , bringing you the pulse of the market while the world is still waking up .
• 0:10
  It's 5 am on Monday , February 9th , 2026 , here on the Pacific coast , and we have plenty of action to discuss as we kick off the week .
• 0:20
  We are currently navigating a fascinating time in market history .
• 0:25
  Just a few days ago , on February 6th , the Dow Jones Industrial Average hit a massive psychological milestone , closing above 50,000 for the first time ever !
• 0:36
  However , as we look at the screens today , the broader market is in a bit of a waitandsee mode .
• 0:42
  The S&P 500 , or the SPY , is slipping roughly 0.24% today , while the techheavy Nasdaq100 , ticker QQQ , is down about 0.46% .
• 0:55
  This marks a fourweek skid for tech as investors start to question if the massive spending on artificial intelligence is actually turning into immediate earnings .
• 1:05
  Looking at our sectors , Energy and Materials are the clear stars of the show .
• 1:10
  Energy was up 14% in January , led by giants like Exxon Mobil , ticker XOM , which is seeing record production .
• 1:20
  Gold has also been on a tear , surpassing 5,000 an ounce , which has been great for miners like Newmont , ticker NEM .
• 1:29
  On the flip side , Information Technology and Financials have been lagging behind .
• 1:34
  The big story hanging over everything is the partial government shutdown .
• 1:38
  This political stalemate has created a data vacuum , delaying the January jobs report and the CPI inflation data .
• 1:46
  This uncertainty is keeping volatility high .
• 1:50
  Meanwhile , the Federal Reserve is holding rates steady at 3.5% to 3.75% , and with inflation sticking at 2.7% , it looks like we are in for a higherforlonger interest rate environment .
• 2:05
  In corporate news , Nvidia — NVDA — remains a market darling , soaring nearly 8% recently thanks to its Blackwellchip growth .
• 2:16
  But it is a different story for Amazon , ticker AMZN , which saw shares drop over 5.5% after announcing a staggering 200 billion plan for AI infrastructure spending , which has some folks worried about their profit margins .
• 2:32
  Interestingly , Tesla , ticker TSLA , has seen a 33% recovery recently as investors get excited about autonomous driving .
• 2:43
  For your trading strategy today , I am recommending a Barbell Strategy to balance growth and safety .
• 2:49
  First , for defensive income , look at the Financial Select Sector SPDR Fund , ticker XLF , or Exxon Mobil , ticker XOM .
• 2:58
  Exxon is a fantastic hedge against geopolitical shocks and is returning billions to shareholders .
• 3:04
  Second , for growth , stay selective with AI .
• 3:07
  While Amazon is being punished for its spending , Nvidia , ticker NVDA , is the one receiving that cash .
• 3:15
  Following the early February selloff , NVDA offers a more reasonable entry point .
• 3:21
  Third , you need a macro hedge because of the government shutdown .
• 3:25
  I suggest holding some SPDR Gold Shares , ticker GLD .
• 3:29
  With gold breaking 5,000 , it provides a necessary buffer if the S&P 500 drops toward the 6,700 support level .
• 3:38
  Finally , for stability , consider the iShares Core U.S.
• 3:42
  Aggregate Bond ETF , ticker AGG .
• 3:46
  With the Fed on pause , you can grab a 4% yield with much less volatility than the current equity market .
• 3:53
  That is all for this morning's update .
• 3:56
  Stay disciplined , keep your eyes on the data when it finally arrives , and let's make it a great week .
• 4:03
  This is Barnaby Bull for Spy Trader , signing off !