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Tariffs, Tech, and the $5,000 Gold Rush · The SPY Trader

• 0:00
  Good morning and welcome to the Spy Trader podcast !
• 0:03
  I am your host , Sunny SideUp , and it is a crisp 5 am on this Tuesday , February 24th , 2026 .
• 0:11
  Whether you are hitting the gym or just starting your commute , I am here to help you navigate these choppy financial waters .
• 0:18
  It has been a bit of a rollercoaster lately , and today is no different .
• 0:23
  Let's dive right into what happened during Monday's session and what we are looking at for the day ahead .
• 0:29
  Yesterday was a tough one for the major indices .
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  The S&P 500 , which we track through the SPY ETF , ended the day down about one percent at 6,837.75 .
• 0:42
  The techheavy Nasdaq , or QQQ , followed suit by dipping 1.1 percent .
• 0:48
  But the real headline was the Dow Jones Industrial Average , which fell 1.7 percent .
• 0:56
  A huge part of that Dow drag came from IBM , which saw its stock price plunge over 13 percent after its latest earnings report .
• 1:04
  It seems investors are getting a bit nervous about the older tech giants trying to make the jump into the AI world .
• 1:11
  The big news on everyone's mind this morning is the Tariff Shock .
• 1:16
  President Trump recently announced a 15 percent global tariff , which has sent ripples through global supply chains .
• 1:24
  Following a Supreme Court ruling that changed how these policies are implemented , the effective tax rate on U.S.
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  imports has jumped to about 13.7 percent .
• 1:35
  This , combined with inflation sitting at 2.5 percent , means the Federal Reserve is keeping a tight lid on things .
• 1:43
  They held interest rates steady between 3.5 and 3.75 percent in January , and it looks like we might not see a rate cut until the middle of summer .
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  Now , looking at the sectors , it is a tale of two markets .
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  While tech and financials are feeling the heat , the energy sector is absolutely glowing .
• 2:02
  The XLE Energy ETF rose 1.5 percent yesterday , with big names like ExxonMobil and Chevron up over 20 percent so far this year .
• 2:12
  With oil prices near 66 dollars and 50 cents , these companies are showing some serious strength .
• 2:19
  On the flip side , we are seeing a massive pullback in software leaders .
• 2:24
  Microsoft was down over 3 percent and CrowdStrike fell nearly 10 percent .
• 2:29
  Investors are starting to ask the tough questions : when will all this massive AI spending actually start paying off ?
• 2:36
  Alphabet , for instance , just announced they are planning to spend between 175 and 185 billion dollars on AI infrastructure this year alone .
• 2:47
  That is a lot of zeros , and the market is feeling a bit of capital expenditure burn .
• 2:53
  If you are looking for a place to park your cash during this volatility , gold is looking like a shiny safe haven .
• 3:00
  The SPDR Gold Shares , or GLD , are tracking gold prices that have climbed past 5,000 dollars an ounce .
• 3:08
  That is a historic high and it shows just how much people are looking for safety .
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  So , what is the game plan for today ?
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  First , we are looking at defensive positioning .
• 3:18
  In times like this , quality is king .
• 3:21
  We like the Consumer Staples Select Sector SPDR , known as XLP , and specifically Walmart .
• 3:27
  Walmart has shown it can handle these supply chain shifts better than most , and as families look for value during inflation , Walmart tends to win .
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  Second , consider hedging with those commodities .
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  Besides GLD , keep an eye on Newmont , ticker NEM .
• 3:42
  As a major gold miner , it offers a great way to play this surge in gold prices .
• 3:47
  For our growth seekers , keep your eyes peeled for Nvidia .
• 3:51
  Their earnings come out tomorrow , February 25th , and everyone wants to see if their Blackwell chip architecture can keep the hypergrowth alive .
• 4:00
  If they deliver , we might see the QQQ trust find a bottom near the 600 level , but be sure to keep your stoplosses tight around 585 just in case .
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  Finally , do not forget to look outside the U.S.
• 4:15
  for a bit of diversification .
• 4:17
  The Vanguard FTSE Developed Markets ETF , ticker VEA , offers exposure to European and Pacific markets that are currently trading at much more reasonable valuations than the S&P 500 .
• 4:30
  To wrap things up , we are in a ' show me ' phase .
• 4:34
  The market wants proof of AI profits while it digests these new tariffs .
• 4:38
  My recommendation is to reduce your exposure to highrisk tech and lean into Energy and Gold for now until the policy outlook clears .
• 4:47
  Stay safe out there , stay smart , and I will see you back here in a few hours .
• 4:52
  This is Sunny SideUp signing off for Spy Trader !