The SPY Trader

Bullish July: Highs and Outlook

Fresh news and strategies for traders. SPY Trader episode #1277.
Welcome back to Spy Trader, your goto podcast for navigating the ups and downs of the stock market. It's 6 am on Tuesday, July 1st, 2025, Pacific time, and I'm your host, Bullish Barry, ready to dive into today's market action. The US stock market is kicking off July with some serious momentum, pushing major indices near alltime highs. The Dow Jones Industrial Average is up, nearing fortyfour thousand, the S&P 500 is sitting comfortably above sixtyone hundred, and the techheavy Nasdaq Composite is pushing twenty thousand. This overall rally is largely thanks to a few key factors. First, we're seeing some good news on the global front with geopolitical tensions easing, especially with a reported ceasefire between Israel and Iran, which has also helped bring down oil prices. Trade relations are also looking up, with Canada rescinding its digital services tax for negotiations and talks of a new USChina trade deal. And of course, megacap tech is still leading the charge. Apple's stock, for example, saw a bump after reports they're looking into using Open AI or Anthropic tech for Siri. On the flip side, we've seen news of Nvidia insiders selling off over a billion dollars in stock, including some by CEO Jensen Huang, which is something to keep an eye on. From a macroeconomic perspective, the Federal Reserve's preferred inflation measure, core PCE, came in slightly above expectations for May, but consumer inflation expectations for the year ahead plummeted in June, which is great. The big news from the bond market is that it's pricing in three Fed rate cuts this year, more than the Fed's own forecast of two, leading to declining Treasury yields. This generally helps the market by making borrowing cheaper. US business activity expanded in June, and durable goods orders surged in May, thanks to commercial aircraft bookings, showing a resilient economy, though growth might be slower. The upcoming US June jobs report is definitely on investors' radars. So, why is the market so bullish right now? It boils down to optimism about monetary policy, meaning those expected interest rate cuts making stocks more attractive. There's also an improved global outlook from deescalating tensions and trade progress. And the technology sector continues its impressive run, fueled by innovation and AI developments. The underlying economic fundamentals, while showing slower growth, remain stable. Now, for some concrete recommendations on how to navigate this market. First, maintain exposure to growthoriented sectors, especially Technology and Communication Services. These sectors have shown strong momentum. Think about established tech giants and innovative communication companies. Second, consider the Financial and Industrial sectors for cyclical upside. With expected lower interest rates and a resilient economy, financials could benefit from increased lending, and industrials are showing strong business activity. Third, exercise caution and be selective in Consumer Discretionary and Energy. These sectors have lagged, and consumer spending could be sensitive to economic shifts, while energy prices can be volatile. Fourth, keep a close eye on macroeconomic data, particularly inflation and employment reports. Any unexpected shifts here could influence the Fed's decisions. Fifth, always diversify and rebalance your portfolios. Even in a bullish market, volatility can happen. Don't put all your eggs in one basket. Consider a mix of growth and value stocks, and maybe broad market ETFs. Finally, be aware of companyspecific risks. While the market is strong, individual company news like insider stock sales, such as those at Nvidia, can signal potential concerns. Always do your due diligence. That's all for this edition of Spy Trader. Stay sharp out there, and happy trading!

Market Highs & Hidden Warnings

Fresh news and strategies for traders. SPY Trader episode #1276.
Welcome back to Spy Trader, your goto podcast for understanding the pulse of the market! I'm your host, Captain Cashflow, and it's 6 pm on Monday, June 30th, 2025, Pacific time. We've just closed out another fascinating trading day, and let me tell you, the market is continuing its impressive run! Diving right into the headlines, the US stock market is absolutely buzzing, with all our major indices hitting or getting very close to alltime highs. Today, the Dow Jones Industrial Average added another 0.63%, or 275.50 points, closing at 44,094.77. Over the last month, the Dow is up over 3.4%. The S&P 500 closed at 6,204.95, gaining 0.52%, pushing it to new record highs, and it's up a fantastic 5% just this month. Not to be outdone, the techheavy Nasdaq Composite also soared to new records, finishing the day at 20,369.73, up 0.47%, and it's seen a whopping 6.6% surge in June alone. So, what's fueling this bullish fire? A few key factors are at play. Investors are largely optimistic about future interest rate cuts from the Federal Reserve. Even though the Fed held rates steady at 4.25% to 4.50% at their June meeting for the fourth time, officials are still projecting two rate cuts later this year. This expectation of cheaper borrowing costs makes stocks look much more appealing. On the geopolitical front, there's been some good news with a reported ceasefire between Israel and Iran, which is certainly easing some of that global uncertainty. We're also seeing positive movement on the trade war front, with Canada rescinding its digital services tax to restart talks with the US, and even signals from the White House about flexibility on upcoming tariff deadlines. Plus, a new agreement aims to speed up rareearth exports from China, in exchange for the US rolling back some countermeasures. Now, let's talk companies. Apple saw a 2% jump today on reports that it might be integrating Open AI or Anthropic technology into Siri. Other tech giants like Broadcom, Nvidia, Microsoft, and Meta Platforms also nudged higher. Interestingly, Nvidia executives have offloaded over a billion dollars in shares during its recent AIdriven surge. Hewlett Packard Enterprise, or HPE, surged an impressive 11.1%, and First Solar jumped 8.8% following new taxes on imported renewable energy gear, which could really benefit domestic manufacturers. And Nike, yes, Nike, absolutely soared by 15% after giving betterthanexpected guidance. So, the market feels robust, driven by a mix of good news. But as your friendly Captain Cashflow, I also want to give you the full picture. While the market is celebrating, some macroeconomic indicators suggest we should keep a cautious eye on things. Inflation, as measured by the CPI, ticked up slightly to 2.4% in May, from 2.3% in April, still stubbornly above the Fed's 2% target. And while the Federal Reserve has maintained its interest rate target, the next FOMC meeting is set for July 29th and 30th, so that will be one to watch. Our unemployment rate held steady at 4.2% in May, with 139,000 new nonfarm payrolls, mainly in healthcare, leisure, and hospitality. However, the number of insured unemployed has actually risen to its highest level since November 2021. Perhaps the most interesting data point is that real GDP in the US actually decreased at an annual rate of 0.5% in the first quarter of 2025. The Federal Reserve even downgraded its GDP growth forecast for 2025 to 1.4%. Also, the Leading Economic Index, or LEI, saw another slight decline in May, and over the past six months, it's fallen by 2.7%, suggesting a potentially weakening economic outlook. So, in summary, we've got this 'Goldilocks' narrative: a strong job market, inflation easing but not quite tamed, and the promise of Fed rate cuts. This is certainly fueling the rally, especially in tech and communication services. But the dip in Q1 GDP and the LEI's continued decline remind us to stay alert for potential softening ahead. So, what does this mean for your portfolio? For you growthoriented investors, keep your exposure to highquality tech and communication services, especially those in the AI space. But with their big runup, maybe think about dollarcost averaging to spread out your entry risk. Also, look for opportunities in Industrials and Consumer Discretionary, as they're performing well and could benefit from continued economic activity. Financials and Real Estate are also worth monitoring; they tend to do well when interest rates start to come down. Now, if you're like me and prefer a more cautious approach, it's a great time to diversify and rebalance your portfolio. Think about taking some profits from those highflyers and maybe reallocating to more defensive sectors like Consumer Staples and Utilities, which tend to be more resilient during economic slowdowns. Always emphasize fundamental analysis, looking for companies with strong balance sheets and consistent cash flows. And it's always smart to stay a little liquid, so you have cash ready to seize opportunities if the market dips. Remember, folks, stay informed. Keep an eye on that next CPI update on July 15th and the Fed's decision later in July. For most of us, a longterm perspective and a disciplined approach are key. And hey, if you need personalized advice, always chat with a qualified financial advisor. That's all for today's Spy Trader. Until next time, keep those portfolios healthy and your cashflow flowing!

Unpacking the Market Surge

Fresh news and strategies for traders. SPY Trader episode #1275.
Hey everyone, and welcome back to Spy Trader, your daily dose of market wisdom! I'm your host, Candlestick Carl, and I'm thrilled you're joining me today. It's 12 pm on Monday, June 30th, 2025, Pacific time, and we've got a lot to unpack from the markets. The US stock market is absolutely roaring right now, with all three major indices, the S&P 500, Dow Jones Industrial Average, and Nasdaq Composite, hitting or nearing alltime highs. The S&P 500 just closed at a new record of 6,173.07, and the Nasdaq Composite also hit a new peak. The Dow is up significantly, reaching 43,819.27. This surge is really being fueled by a few key factors. We're seeing a lot of trade optimism, especially after Canada rescinded its planned digital services tax on US tech firms, and there's growing confidence that President Trump will secure new trade agreements. Treasury Secretary Scott Bessent even hinted that a July 9th tariff deadline might be pushed back, which is great news. On the monetary policy front, hopes are really high for Federal Reserve interest rate cuts. With inflation cooling down, there's a 93% chance of at least one rate cut by September 2025. Plus, there's buzz about a potential Republicanbacked tax and spending package in the Senate, which could be a huge fiscal stimulus. Corporate earnings have also been strong, particularly in the tech and financial sectors. Companies like Nvidia and Palantir have been big drivers, and major banks like JPMorgan and Bank of America rallied after passing the Fed's annual stress tests. Hewlett Packard Enterprise, or HPE, and Juniper Networks, JNPR, shares soared on acquisition news, and Nike saw a nice jump after betterthanexpected earnings. While tech broadly performed well, some individual giants like Amazon, Tesla, Apple, and Alphabet saw slight declines today, with Tesla specifically impacted by proposals to cut clean energy credits. Energy and Basic Materials have been struggling due to weak oil prices and muted demand from China, and the solar energy sector, with companies like Enphase and SolarEdge, is facing headwinds from proposed tax credit phaseouts. Now, let's dive a bit deeper into why this market is on such a tear, even with some mixed economic signals. This current strength is really a recovery story, bouncing back robustly from a sharp selloff we saw in early spring. The reduced geopolitical and trade tensions are a huge part of it, clearing up a lot of uncertainty that was weighing on investors. Then there's the optimism for more accommodating monetary policy; when interest rates are expected to go down, borrowing becomes cheaper, which stimulates the economy and makes stocks more attractive. The potential for that big fiscal stimulus package is also a significant tailwind. And despite some broader economic slowdown, key sectors like technology, driven by AI and chip stocks, and financials have shown incredibly resilient earnings, meaning many companies are still performing well. The S&P 500's quick rebound from its April low to new highs shows strong technical momentum and improved investor sentiment. However, it's not all sunshine and rainbows. We need to keep an eye on a few underlying macroeconomic concerns. The US economy saw a slowdown in the first quarter of 2025, with real GDP actually decreasing by 0.5%, and forecasts anticipate growth to decelerate to 1.5% for the full year. The labor market is also softening, with slower job creation, even though the unemployment rate is stable at 4.2%. And while May's inflation report was cooler than expected, there's a risk that higher tariffs could lead to a reacceleration of inflation later in the year, which could complicate the Fed's plans. So, what does this mean for your portfolio? Given these conditions, a balanced approach is key. You want to leverage the current momentum but also acknowledge those potential headwinds. First, maintain exposure to growth sectors with strong fundamentals. Selective tech, especially companies leading in AI and cloud computing with strong earnings and reasonable valuations, is still promising. The HPEJuniper acquisition highlights how strategic this space is. Financials also look good, with banks passing stress tests. Healthcare and Industrials can offer some stability and defensive characteristics. Second, diversification is absolutely crucial right now. With the potential for an economic slowdown and persistent inflation risks from tariffs, don't overconcentrate in just one sector, even if it's currently performing well. Third, monitor those macroeconomic indicators very closely. Keep an eye on future inflation reports, especially the core Personal Consumption Expenditures, for any signs of tariffrelated price increases, as this will heavily influence the Fed. The upcoming nonfarm payroll report and other jobs data will also be critical for understanding the economy's health. And of course, keep tracking trade developments, as they can shift market sentiment fast. Fourth, if you're in fixed income, review your interest rate expectations. While cuts are anticipated, the pace could change, so adjust your bond portfolio's duration accordingly. Finally, exercise caution with speculative assets and companies overly exposed to policy changes. We saw how Tesla and the solar energy sector reacted to proposed budget changes affecting clean energy credits. Be wary of companies whose valuations seem stretched without strong underlying fundamentals. In summary, the US stock market is riding a fantastic wave of optimism driven by trade hopes, anticipated Fed rate cuts, and potential fiscal stimulus, along with solid performance in key sectors. But, smart investors will remain vigilant about the broader economic slowdown and the potential for tariffdriven inflation to impact the market's trajectory later this year. That's all for today's Spy Trader. Thanks for tuning in, and happy investing!

Market Momentum: New Highs & Mixed Signals

Fresh news and strategies for traders. SPY Trader episode #1274.
Welcome, market mavens and future millionaires, to Spy Trader! I'm your host, Dollar Bill McBucks, and it's 6 am on Monday, June 30th, 2025, Pacific time. We're here to break down the latest market moves and help you navigate the everexciting world of finance. Let's dive right in! The US stock market is showing some real muscle lately, with major indices flexing their way to new highs. The Dow Jones Industrial Average is up a solid 1%, sitting at 43,819.27. The NASDAQ Composite is up 0.52% at 20,273.46, and the S&P 500, our trusty benchmark, is also up 0.52% at 6,173.07, hitting those sweet new record highs. In fact, the S&P 500 climbed 4.42% just this month and is up over 13% for the year! Looking at sector performance, it's a bit of a mixed bag but mostly positive. On the daily front, Consumer Discretionary is leading the charge, up 1.65%, followed by Communication Services, up 1.16%, which also had a fantastic week. Industrials are also strong, up nearly 1%. The energy sector, however, is taking a breather, down 0.54% today and was the worst performer last week, largely due to easing Middle East tensions and a dip in oil prices. Health Care and Technology are also slightly down today, though Tech had a stellar week overall. Yeartodate, Conglomerates, Utilities, and Services are the top performers, but Consumer Discretionary is surprisingly down over 40% yeartodate, which is a stark contrast to its daily performance. Energy and Health Care are also showing yeartodate declines. Now, for the news that's moving the needle! We've got some positive trade developments brewing. Canada is back at the table for trade talks with the US after ditching a digital services tax on American tech companies, a nice reversal from earlier uncertainties. Plus, Washington and Beijing have finalized a new trade agreement to speed up rareearth exports from China, with the US rolling back some countermeasures. The US Commerce Secretary even mentioned that ten more trade deals are ready for finalization. On the company front, Nike surged by a whopping 15% after giving betterthanexpected guidance, suggesting its recent sales slump might be turning around. Boeing Co. saw a significant 5.91% gain, though its Spirit AeroSystems deal is facing an antitrust investigation in the U.K. Nvidia, the AI titan, has seen its stock jump 45% in the last two months, adding a staggering $1 trillion in market value, though it's worth noting some insiders have cashed out a billion dollars worth of shares. HPE and Juniper Networks also saw premarket gains following a Department of Justice settlement. Easing Middle East tensions, marked by a ceasefire, have also contributed to the positive market vibe, especially affecting energy prices. So, what's driving all this? The market's current buoyancy is largely fueled by this renewed optimism around global trade relations. Less uncertainty means a better environment for international business. Strong corporate earnings, like what we saw with Nike, also reinforce investor confidence. Another big factor is the expectation of future interest rate cuts by the Federal Reserve. Even though the Fed held rates steady at 4.25% to 4.50% for the fourth straight meeting in June, investors are anticipating two 0.25% rate cuts later in 2025. Lower rates generally make borrowing cheaper, which can stimulate the economy and boost company profits, making stocks more appealing. The recent drop in Treasury yields also supports this outlook. However, the macroeconomic picture isn't entirely rosy. Inflation ticked up slightly to 2.4% in May, and core inflation stayed at 2.8%. Fed Chair Jerome Powell even cautioned that inflation could reignite this summer as import duties get passed on to consumers. And here's where it gets interesting: Real GDP decreased in 39 states in the first quarter, and national GDP was down 0.5%. Personal income decreased by 0.4% in May, and personal consumption expenditures saw a 0.1% decrease, the first reduction since January. This softening in consumer spending is partly attributed to folks frontloading purchases earlier in the year to beat anticipated tariffs. This divergence between a strong stock market and some underlying economic weakness suggests the market is currently more driven by forwardlooking sentiment and specific corporate successes rather than universal economic strength. Growth sectors like Communication Services and Technology are thriving, likely benefiting from the AI boom, while Energy is sensitive to global stability and commodity prices. Now, for some concrete recommendations as your trusted Dollar Bill McBucks: First off, maintain diversification. While some sectors are hot, mixed economic signals mean you want a wellrounded portfolio. Second, keep a close eye on inflation and Fed policy. The next CPI update is July 15th, and the next FOMC meeting is July 29th and 30th. These will be huge for market direction. Third, focus on companies with strong fundamentals. In this uncertain environment, look for businesses with solid balance sheets and consistent earnings. Fourth, consider balancing growth and value stocks. While growth has been leading, value stocks can offer stability if the economy slows. Fifth, stay informed on trade developments. Tariffs have a real impact, so continued progress in negotiations is a good sign. Sixth, adopt a longterm perspective. Don't let daily market swings derail your longterm financial goals. And finally, consider dollarcost averaging. Investing a fixed amount regularly can help smooth out volatility. Remember, this analysis is for informational purposes only and not financial advice. Always do your own research and consult a qualified financial advisor before making any investment decisions. That's all for this episode of Spy Trader! I'm Dollar Bill McBucks, signing off. Stay smart, stay liquid, and I'll catch you on the next trade!

Decoding the Week: Rates, Jobs & Shifts

Fresh news and strategies for traders. SPY Trader episode #1273.
Hello and welcome to Spy Trader, your daily deep dive into the markets! It's 6 am on Sunday, June 29th, 2025, Pacific time, and I'm your host, Chip Stonkwell. We're here to get you prepped for the exciting market week ahead, specifically looking at the period from July 1st to July 5th, 2024. The US stock market is poised for a dynamic week, influenced by ongoing macroeconomic trends, crucial economic data, and shifts in sector performance. While the first half of 2024 has seen significant gains, especially in technology, the upcoming week presents a mixed bag of opportunities and potential volatility. The broader market has shown resilience, with the S&P 500, Nasdaq, and Dow Jones Industrial Average all recording healthy increases in June and yeartodate. This momentum has largely been fueled by easing inflation concerns and the growing expectation of Federal Reserve interest rate cuts, possibly starting in September. The market is currently pricing in a soft landing for the economy, a scenario where inflation is controlled without a recession. However, equity valuations, particularly for larger tech companies, are considered elevated, suggesting future gains might be more dependent on earnings growth. Historically, July has been a favorable month for the S&P 500, averaging a gain of 1.7% since 1928. Recent economic data has sent mixed signals. May's Consumer Price Index showed inflation slowing more than anticipated, and the Federal Reserve tentatively forecast one rate cut before the year's end. The Fed's preferred inflation marker, the Personal Consumption Expenditures index, was flat in May, further bolstering optimism for a September rate cut. Despite a recent rise in the unemployment rate, the job market remains strong, though some softening signs are emerging, which could further support the case for rate cuts. Conversely, firstquarter GDP was slightly stronger than expected but still reflected a slowdown from the previous quarter, and consumer spending in May increased less than anticipated. Concerns regarding political uncertainty, particularly following the recent US presidential debate, also contributed to some market turbulence at the end of June. Looking at the key economic news for the week of July 1st to 5th, on Monday, July 1st, we'll get the ISM Manufacturing PMI report, providing insights into the health of the US manufacturing sector. Then, on Friday, July 5th, the allimportant jobs report, including nonfarm payrolls and earnings growth data, will be released. This report is crucial as evidence of labor market softening is needed to solidify September's rate cut expectations. Throughout the week, Federal Reserve Chair Jerome Powell is scheduled for congressional testimony, and the June Fed minutes will be released, offering more clues on the Fed's stance on inflation and future monetary policy. Regarding sector performance, while technology and growth sectors, especially those linked to artificial intelligence, have led market gains yeartodate, there has been a recent rotational shift observed in July. Value and smallcap stocks have shown signs of outperforming growth and megacap tech. This rotation is fueled by optimistic investor sentiment that anticipates interest rate cuts will stimulate wider economic growth, benefiting smaller companies that have previously lagged. Real Estate and Utilities also gained significantly in July. For company events, there are no noteworthy earnings reports scheduled for the week of July 1st to 5th, as July 4th is a market holiday and no significant reports are anticipated for July 3rd. PNC Financial Services Group, for example, reports in midJuly. So, let's dive into some detailed reasoning and concrete recommendations for the US stock market next week. First, the positive tailwinds: the overarching narrative of easing inflation and the strong probability of Fed rate cuts continues to provide a supportive environment for equities. The market's anticipation of a soft landing lessens recession fears, encouraging investment. Second, the market leadership shift: while AIdriven tech stocks have dominated, the recent outperformance of value and smallcap stocks suggests a potential broadening of the rally. This great rotation could be a positive sign for market health, as it indicates wider participation in gains beyond just a few megacap names. Third, crucial economic data: the ISM Manufacturing PMI and especially the jobs report will be closely watched. A softerthanexpected jobs report, particularly with moderating wage growth, would reinforce the case for a September rate cut and likely be viewed positively by the market. Conversely, a surprisingly strong report could temper rate cut expectations, potentially leading to a pullback. Fourth, Fed commentary: Fed Chair Powell's statements and the Fed minutes will offer further clarity on the central bank's inflation outlook and policy path. Any dovish signals, meaning more inclined towards rate cuts, would be welcomed by the market. And finally, holiday impact: the Independence Day holiday on July 4th will result in a shortened trading week, which can sometimes lead to lower trading volume and potentially increased volatility around the holiday. Now for the concrete recommendations. First, maintain a balanced portfolio with a lean towards value and smallcaps. While largecap tech remains important, consider rebalancing portfolios to include exposure to value and smallcap stocks. The recent rotational trend suggests these areas could offer more upside potential in an environment of anticipated rate cuts and broadening economic growth. Second, monitor economic data closely. Investors should pay close attention to Monday's ISM Manufacturing PMI and especially Friday's jobs report. These releases will significantly influence market sentiment regarding the timing and pace of Fed rate cuts. Be prepared for potential shortterm volatility around these announcements. Third, stay informed on Fed communications. Follow news and analysis related to Fed Chair Powell's testimony and the FOMC minutes. Any unexpected hawkish comments could trigger a market reaction. Fourth, consider dollarcost averaging. Given the elevated valuations in some segments and the potential for shortterm fluctuations driven by economic data, a dollarcost averaging strategy can help mitigate risk by spreading investments over time, rather than attempting to time the market. Fifth, revisit sector allocations. While Information Technology has been a strong performer, consider if other sectors that tend to benefit from lower interest rates and broader economic growth, such as Financials and Industrials, might offer compelling opportunities in the coming months. Real Estate and Utilities also gained significantly in July. And finally, keep a longterm perspective. Despite shortterm economic data and political uncertainties, the overall economic backdrop, with slowing but resilient growth and moderating inflation, suggests a path for continued positive, albeit perhaps more modest, equity returns in the latter half of 2024. Longterm investors should remain focused on their investment goals and avoid impulsive reactions to daily market movements. That's all for today's Spy Trader. Wishing you a profitable week ahead, and remember, stay nimble out there!

The Market’s Record Surge

Fresh news and strategies for traders. SPY Trader episode #1272.
Hey there, stock market warriors and finance fanatics! Welcome back to Spy Trader, your goto podcast for cutting through the noise and getting straight to the insights. I'm your host, Market Maverick Marty, and it's 6 am on Saturday, June 28th, 2025, Pacific time. We've got a lot to unpack from a truly wild week on Wall Street, so let's dive right in! The US stock market just wrapped up a powerful 'summer rally' with major indexes hitting brand new record highs. For the week ending June 27th, the S&P 500 climbed 3.4%, breaking a twoweek losing streak and closing at a record 6,173 points. It's up 20% since April 8th! The Nasdaq Composite jumped an incredible 4.25% for the week, reaching an alltime high of 20,273 points, a remarkable 33% surge since its April lows. Even the Dow Jones Industrial Average rose a solid 3.8% to close at 43,819 points. So, what drove this monster rally? Well, a few key things. First, we saw easing geopolitical tensions, particularly regarding the IsraelIran conflict. Reports of Iran's willingness to negotiate and a ceasefire agreement helped calm investors, sending oil prices, like West Texas Intermediate crude, sliding 12.1% to $65.08 a barrel by Thursday. Second, the U.S. and China confirmed a new trade framework, which was a big sentiment booster. Although President Trump's announcement on Friday to end trade talks with Canada over a digital services tax did cause a brief dip in the S&P 500 and Nasdaq before they recovered. Third, investors are still hopeful for future interest rate cuts. Despite the Federal Reserve holding rates steady at 4.25% to 4.50% at its June meeting, policymakers still project two rate cuts later in 2025. Fed Chair Jerome Powell is cautious, but others hint at cuts as early as July or September. Looking at sectors, Communication Services led the pack, up 5.01%, with Technology close behind, rising 4.35%. AI excitement continues to fuel the tech surge. On the flip side, Energy was the weakest, down 3.19%, and Real Estate lagged, too. On the macroeconomic front, we're seeing a mixed bag. May's Consumer Price Index, or CPI, increased less than expected, but the Fed's preferred inflation gauge, PCE, inched slightly higher. The Fed even raised its 2025 PCE inflation forecast to 3.0%, citing tariffs as a contributing factor. GDP growth forecasts were downgraded by the Fed and OECD for both 2025 and 2026, suggesting a slowing economy. Employment data shows the unemployment rate steady at 4.2% in May, but many job seekers are finding fewer opportunities, pointing to a narrowing breadth of job growth. In company news, Nike shares surged 15% on Thursday after beating earnings expectations and outlining plans to handle tariff impacts. Nvidia continued its amazing run, hitting another alltime high on Wednesday, regaining its spot as the world's most valuable company. On the other hand, Intel's stock tumbled 6.3% on June 12th due to weak performance. Kroger also saw shares rise after beating profit and sales estimates. Overall, the first quarter 2025 earnings season for the S&P 500 has been strong, with 76.3% of companies beating expectations, well above the longterm average. So, why are we seeing these record highs? It's really a combination of reduced geopolitical risk, especially with the Middle East calming down. Then there's the optimism for Fed rate cuts; the market is looking past the next few months to a period of more accommodative monetary policy. Add to that strong corporate earnings, with many S&P 500 companies surprising to the upside. And, of course, the continued enthusiasm around artificial intelligence is driving the tech sector, making companies like Nvidia seem like a bastion of safety. The U.S.China trade framework also provided a positive push, even with that brief wobble from the Canada trade talks. Now, let's talk about the challenges and concerns. While inflation data was somewhat softer in May, the Fed is still worried that tariffs could push inflation higher later this year, complicating their rate cut plans. We're also seeing signs of slowing economic growth, with downgraded GDP forecasts and narrowing job growth. And despite the low unemployment rate, the 'lived experiences' of many Americans show a more challenging job market, which could impact consumer spending. So, what are the recommendations for you, the savvy Spy Trader listener? First, maintain diversification in your portfolio, but consider a tilt towards growth and technology stocks, especially those tied to AI, given their strong performance. Second, keep a very close eye on inflation data and Federal Reserve commentary. The rate cuts are anticipated, but they're not guaranteed, and any unexpected inflation jump or hawkish shift from the Fed could lead to pullbacks. Third, be prepared for trade policy volatility. That Canada situation was a clear reminder that trade policy can still cause sudden market swings, especially with the July 9th deadline for reciprocal tariffs looming. Fourth, focus on quality companies, meaning those with strong balance sheets, consistent earnings, and competitive advantages, like Nike demonstrated. Fifth, consider fixed income, particularly longerdated U.S. Treasuries and investmentgrade bonds. With the Fed eventually looking to lower rates, these could offer good value and stability. And finally, given this significant rally since April, it might be a good time to review your portfolio positioning and rebalance to ensure your asset allocation still aligns with your risk tolerance and longterm goals. That's it for this edition of Spy Trader! Remember to stay vigilant, stay informed, and keep making those smart moves. Until next time, I'm Market Maverick Marty, and happy trading!

Market Highs: Navigating What’s Next

Fresh news and strategies for traders. SPY Trader episode #1271.
Hello, market friends, and welcome back to Spy Trader, your quick market update. I'm your host, Market Maverick Mike, and it's 6 pm on Friday, June 27th, 2025, Pacific time. We've got a lot to unpack from today's market action, so let's dive right in. First up, a summary of what's been moving the needle. The US stock market is riding high, with major indices hitting or nearing record highs. The S&P 500 closed at a new record of 6,173 points, gaining half a percent, and the Nasdaq Composite also set a new record at 20,273. The Dow Jones Industrial Average climbed 432 points. This positive momentum comes from easing geopolitical tensions, particularly a ceasefire agreement in the IsraelIran conflict, and optimism around pending trade agreements, including a framework deal with China. While President Trump's comments about halting trade talks with Canada briefly caused a dip, the market largely shrugged it off. Corporate earnings have also been a big driver, with strong reports from companies like Nike, whose shares jumped 13 percent, and Dollar General, which soared 16 percent after beating expectations. Looking at specific companies, Microsoft's stock is up 12 percent yeartodate, significantly outpacing the S&P 500. Chipmakers like Nvidia and Broadcom continue their strong run, and AMD surged after its 'Advancing AI' event. However, Apple shares slipped after its Worldwide Developers Conference. On the flip side, we've seen some recalls, like Anker Innovations recalling over 1.1 million power banks due to fire hazards, and automotive manufacturers like Ford and Honda issuing recalls for safety issues. In the tech sector, Intel is planning significant layoffs, and Microsoft has also reported job cuts. After a quiet period, we might see a flurry of fintech IPOs, with Klarna already making its F1 prospectus public and Chime planning to offer shares. Now for the analysis and insights. The market's current strength is largely a reflection of strong investor sentiment, fueled by trade optimism and a perceived deescalation of global conflicts. This 'riskon' environment is further supported by resilient corporate earnings, showing companies can still perform well even with a slowing economy. The technology sector, especially chipmakers, remains a powerhouse, leading market gains due to sustained demand and advancements in AI. The Federal Reserve's signal for two rate cuts later in 2025, despite holding rates steady in June, also offers a supportive outlook for equities by promising lower borrowing costs. However, it's not all sunshine and rainbows. The market's record highs are built on a somewhat shaky foundation. The underlying macroeconomic data shows a slowing economy, with a GDP contraction in the first quarter of 2025 and lower annual GDP growth forecasts. Inflation remains a persistent concern, projected to stay above the Fed's target for a while, largely due to the impact of tariffs. This puts the Fed in a tricky spot, balancing inflation control with avoiding a significant economic downturn. The uncertainty surrounding future tariff impacts on supply chains and consumer prices is a notable headwind that could disrupt the current positive trend. Plus, with indices at record levels, valuations might be stretched, making the market vulnerable to unexpected negative news. So, what's a savvy investor to do? Here are my concrete recommendations. First, maintain diversification. While tech is booming, spreading your investments across various sectors and asset classes is crucial to mitigate risks, especially with economic uncertainties. Second, balance growth and value stocks. Growth stocks have led the rally, but if economic growth slows, valueoriented companies with stable earnings might offer more resilience. Some analysts are even suggesting an overweight to value. Third, monitor macroeconomic data and Fed policy closely. Pay attention to inflation reports, GDP revisions, and Fed statements, as any deviation from the anticipated rate cut path could trigger market volatility. Fourth, assess your tariff exposure. Review your portfolio for companies heavily exposed to tariffs or those with complex international supply chains, as they could face increased costs and reduced profitability if trade tensions escalate. Fifth, consider defensive sectors for stability. If you're worried about a potential economic slowdown, increasing exposure to sectors like Utilities and Consumer Staples might offer greater stability and consistent dividends. Sixth, focus on companies with strong fundamentals. Invest in companies with solid balance sheets, consistent cash flows, and proven management teams, as these characteristics provide a buffer during uncertain times. Seventh, adopt a longterm investment horizon. Shortterm market fluctuations can be significant, so sticking to a welldefined longterm strategy is often more effective than reacting to daily news. And finally, always consult a financial professional. This analysis provides general insights, but discussing your specific financial goals and risk tolerance with a qualified advisor is always recommended. That's it for this edition of Spy Trader. Thanks for tuning in, and I'll catch you next time!

Market Milestones: Trade, Tech, and Fed Hopes

Fresh news and strategies for traders. SPY Trader episode #1270.
Hey everyone, and welcome back to Spy Trader, your goto podcast for navigating the ups and downs of the stock market! I'm your host, Market Marvin, and it's 12 pm on Friday, June 27th, 2025, Pacific time. We've got a lot to cover today, folks, as the market continues its fascinating dance, hitting new milestones and shrugging off some earlier worries. Let's dive right into today's market snapshot. The US stock market is showing cautious optimism. The S&P 500 index is at 6,141.02, up 0.80% for the day and on track to surpass its February record. It's climbed 4.96% over the past month and is up 13.19% from this time last year. The Dow Jones Industrial Average is at 43,386.84, up 0.94% today, gaining 2.6% in June and 2% yeartodate. The Nasdaq Composite is also having a stellar day at 20,167.91, up 0.97%, pushing towards a new record. It's up 5.5% in June and 4.4% yeartodate. Both the S&P 500 and Nasdaq Composite have hit new alltime highs this month, really bouncing back from those April lows. Now, let's talk sectors. Technology was the big winner in May, up over 10%, and continues to lead the charge in June, with chipmakers like Nvidia and Broadcom seeing significant gains. Communication Services was also a strong performer, and it remains undervalued, with Meta Platforms showing strong momentum. Financial Services and Energy led the pack last week. On the flip side, Healthcare was the only sector to lose ground in May and continued to struggle last week, with losses from Eli Lilly and UnitedHealth. Basic Materials also underperformed. Consumer Defensive is still considered overvalued, skewed by names like Costco and Walmart. What's driving all this? A major positive is the progress in USChina trade negotiations. A trade deal was signed just two days ago, which included a pledge from Beijing regarding rare earth materials. Plus, the White House indicated that deals with ten other countries are imminent and the July 9th deadline for reciprocal tariffs isn't critical. This has really cooled down those tariff concerns that were rattling the market. On the economic front, the May Personal Consumption Expenditures price growth was mostly in line, but core PCE did tick up slightly more than expected. The Federal Reserve held interest rates steady at its June meeting but hinted at two potential rate cuts later this year, maybe as soon as July or September, which is certainly boosting spirits. Yearahead inflation expectations have plummeted, which is good news. However, some analysts warn that tariffs could still push up inflation later in the year. Speaking of the economy, the US did see a 0.5% contraction in Q1 2025, the first decline in three years, mainly due to consumer spending and exports. But, Q2 GDP is looking much better, with the Atlanta Fed GDPNow estimate at a robust 4.6%. Consumer confidence was a bit shaky earlier in June, but a more recent University of Michigan report revised sentiment slightly higher, with expectations for personal finances and business conditions climbing significantly. Retail sales in the US declined in May, likely due to consumers pulling back ahead of expected tariffs, but core retail sales, excluding some volatile items, actually showed growth. Geopolitically, the IsraelIran conflict, which caused some initial market jitters and an oil price spike, has seen a ceasefire announced, and nuclear talks are set to begin, easing those immediate tensions. On the company front, Q1 corporate earnings for the S&P 500 hit new highs, up 9.6% yearoveryear. Dollar General reported betterthanexpected results and surged 16%. Nike soared over 15% despite warning about tariffs, thanks to a production shift away from China. Broadcom had strong quarterly results, though its forecast was a bit soft. Lululemon, on the other hand, plunged after trimming its fullyear outlook. In the tech world, Nvidia closed at a record high, reclaiming its spot as the world's most valuable company. ON Semiconductor soared on signs of recovering demand, and AMD surged after analyst upgrades. Microsoft is also at a new alltime high. Sadly, Intel is undergoing significant layoffs, cutting about 22,000 workers. Other notable movers include EchoStar and Coinbase Global, both gaining significantly, and Warner Bros. Discovery shares were up after announcing a split of its streaming and studios business. So, what's our analysis here? The current positive sentiment in the US stock market is primarily driven by the significant reduction in trade tensions. That confirmed USChina trade deal and the White House's flexible stance on tariff deadlines have really removed a major overhang that previously caused substantial market drops. This has allowed investors to focus on the underlying strength of corporate earnings and the prospect of more accommodative monetary policy from the Fed. While Q1 GDP showed a contraction, those forwardlooking estimates for Q2 suggest a strong rebound, and corporate earnings remain robust, providing a solid fundamental backdrop. The Federal Reserve's stance of holding rates steady while hinting at future cuts is seen as very dovish, boosting investor confidence, although that latest core PCE data might make a July cut a bit less likely. And the rebound in consumer sentiment in late June, after an earlier dip, also signals resilience in consumer expectations for the economy, despite that weaker retail sales data in May, which was heavily influenced by anticipation of tariffs. The technology sector, especially chipmakers and largecap tech, continues to lead the market, showing strong performance and innovation, particularly around AI advancements. This highlights a continued preference for growth stocks in the current environment. However, we're seeing some divergence even within the big tech names, meaning individual company fundamentals and news are still very important. The underperformance of healthcare and basic materials, alongside those mixed retail sales, suggests that not all sectors are benefiting equally from this current economic narrative. Geopolitical risks, specifically the IsraelIran conflict, caused a temporary wobble but have since deescalated, allowing the market to resume its upward trend. However, the underlying tensions and potential for future disruption definitely remain a background concern. Now, for some concrete recommendations. For our growthoriented investors, maintain exposure to Technology and Communication Services. These sectors continue to show strong momentum and innovation. Focus on companies with solid earnings growth, clear competitive advantages, and strong balance sheets. Continue to overweight positions in established tech giants like Nvidia, Microsoft, and Alphabet, which have shown resilience and growth. And explore Communication Services for potential value, especially companies like Meta Platforms, which is considered undervalued despite strong performance. Be selective in Consumer Cyclical. While the sector saw strong gains in May, largely due to Tesla, its overall valuation is nearing fair value. Focus on individual companies with strong fundamentals and unique growth drivers, like Dollar General, rather than just broad sector ETFs. For our valueoriented investors, look for opportunities in undervalued sectors. Energy and Real Estate remain significantly undervalued. Consider Energy and Real Estate ETFs, or individual companies within these sectors that have strong underlying assets and robust cash flows, as they may offer a margin of safety and potential for future recovery. Exercise caution in overvalued sectors. Consumer Defensive, Utilities, and parts of Financial Services are noted as potentially overvalued. Review your holdings in these sectors. For Consumer Defensive, be mindful of specific stocks like Costco and Walmart that are skewing valuations. For Financials, while some banks are hitting new highs, ensure you do your due diligence on individual names. For general investment strategies, monitor macroeconomic data closely. While trade tensions have eased, that slight rise in core PCE and the mixed signals from consumer sentiment and retail sales warrant attention. Pay close attention to upcoming inflation reports and Federal Reserve announcements. Be prepared to adjust your portfolio if the Fed's stance shifts or if inflation proves more persistent. And as always, diversify your portfolio. Despite the current rally in certain sectors, diversification across various sectors and asset classes remains crucial to mitigate risks. Ensure your portfolio isn't overly concentrated in just a few highperforming tech stocks. Consider a balanced approach that includes a mix of growth and value stocks. And finally, on risk management: keep an eye on geopolitical risks. While the immediate crisis in the Middle East has eased, tensions and their potential impact on oil prices and global supply chains remain a consideration. There's also some tariff uncertainty. While a deal has been signed and flexibility shown, the longerterm impact of new trade policies and the potential for renewed tensions could still introduce volatility. Analysts predict the brunt of tariff impact could hit in Q3. And of course, keep monitoring earnings season. While Q1 earnings were strong, continued robust performance is essential to sustain the rally. Monitor those Q2 earnings reports closely as they are released. In summary, the US stock market is in a strong position, buoyed by positive trade news and solid corporate performance, with expectations for potential Fed rate cuts providing further tailwinds. However, investors should remain vigilant regarding macroeconomic indicators, particularly inflation and consumer spending, and the ongoing geopolitical landscape. Strategic sector allocation and diversification are key to navigating this dynamic environment. That's all for today's Spy Trader. I'm Market Marvin, signing off. Happy trading, everyone!

Market Momentum: Trade Deals & Rate Cuts

Fresh news and strategies for traders. SPY Trader episode #1269.
Hey there, Spy Trader listeners! This is your Captain Cashflow, bringing you the latest market updates. It's 6 am on Friday, June 27th, 2025, Pacific time, and what a morning it's shaping up to be! We're here to dive into what's moving the markets as we head into the weekend. Let's get right to it!The US stock market is showing some incredible momentum. Major indices are hitting new highs or getting very close. The S&P 500, tracked by the US500 CFD, jumped to 6165 points yesterday, gaining almost half a percent and it's up nearly 13% over the past year. The Nasdaq Composite also had a fantastic day, advancing almost 1% to 20,168, and the Dow Jones Industrial Average gained nearly 1% to 43,386. Even the Russell 2000, our smallcap friend, is up 1.68%.When we look at sectors for the day, Energy, Communication Services, and Industrials were leading the charge, all up over 1%. Information Technology and Financials also saw solid gains. On the flip side, Real Estate and Consumer Staples lagged a bit.Looking at the bigger picture, yeartodate, Industrials are leading the pack, up over 10%, followed by Communication Services and Info Tech. Energy, Healthcare, and Consumer Discretionary are actually down yeartodate, so quite a mixed bag depending on where you're looking.Now, what's driving all this excitement? A big factor is renewed optimism around trade policy. The US and China actually reached a trade agreement, easing those tariff concerns, and there are hints of progress on a trade deal with India too. Less trade uncertainty usually means more happy businesses.Another huge driver is the growing confidence that the Federal Reserve will deliver multiple interest rate cuts this year. We've heard some 'dovish Fed speak,' and while they held rates steady at 4.25% to 4.5% at their last meeting, the market is pricing in a higher than 50% chance of a cut by the September meeting. Lower rates tend to make stocks more attractive.And, of course, corporate earnings are providing a strong backbone. Nike, for example, saw its futures jump 10% after reporting strong results. We're seeing general expectations for positive earnings growth throughout 2025.On the company front, we've seen Nvidia rise to another record high, reclaiming its title as the world's most valuable company. Microsoft, Amazon, and Broadcom also saw good gains yesterday. Meta Platforms jumped earlier in the month after announcing paid advertising on WhatsApp. FreeportMcMoRan surged nearly 7% yesterday, benefiting from higher copper prices. It's not all sunshine, though. The solar sector, including companies like Enphase Energy, has really struggled recently, plunging due to a bill eliminating tax credits for wind and solar projects by 2029. This highlights the risk of regulatory changes. Also, GE Appliances announced a halfbilliondollar investment to bring washing machine production from China to Kentucky, which is great news for US jobs.Let's dig into the analysis. This market rally is fundamentally strong because of those trade developments. Less trade friction means more predictable business environments globally. The expected Fed rate cuts are also a major tailwind, reducing borrowing costs and making equities relatively more appealing. And despite some mixed signals, overall corporate earnings are holding up, providing a solid foundation for stock valuations.However, we need to be realistic about the macroeconomic picture. The US economy actually contracted by 0.5% in Q1 2025, which was the first decline in three years. But don't panic too much, this was largely due to a surge in imports ahead of anticipated tariffs, and the underlying growth rate would have been positive. In fact, the Atlanta Fed is forecasting a strong rebound of 3.4% GDP growth for Q2. Still, forecasts suggest overall GDP growth will decelerate through 2025 and 2026.On the inflation front, Core PCE, the Fed's preferred gauge, is expected to have ticked higher in May. While it hit a fouryear low in April, higher tariffs could lead to it rising towards 3.1% by yearend. So, inflation is definitely something to watch.The labor market is showing some signs of softening. We added 139,000 jobs in May, but job gains are expected to slow significantly in the second half of the year, with the unemployment rate potentially drifting higher to 4.8%. And perhaps most importantly for consumerfacing businesses, consumer spending growth has slowed, and retail sales disappointed in May, indicating easing demand.So, what does this all mean for your portfolio, Spy Trader?Here are some concrete recommendations:First, consider overweighting sectors like Industrials, Communication Services, and Technology. These have shown consistent strong performance, and with improving global trade, industrials could see further benefits, while tech and communication services continue to be innovation powerhouses. Financials also look promising, given the discussions around easing leverage rules for banks and a generally supportive rate environment.However, be cautious with sectors like Consumer Discretionary and Real Estate for now, given the recent slowdown in consumer spending and their underperformance. For Energy, it's a bit more selective. While it had a strong day yesterday, it's negative yeartodate, so careful consideration of commodity price volatility is key.Second, diversify, diversify, diversify! With the market at current valuations and the potential for increased volatility ahead, a welldiversified portfolio that includes some international equities and a blend of growth and value stocks could be your best bet.Third, keep a very close eye on macroeconomic indicators. That means monitoring inflation reports, especially PCE, the upcoming employment figures, and any statements from the Federal Reserve. The big wildcard could be whether those higher tariffs lead to a renewed inflation impulse later in the year.Finally, remember your longterm perspective. Despite some potential shortterm bumps from softening economic data or inflation worries, the underlying resilience of the US economy and the prospect of more accommodative monetary policy generally provide a positive backdrop for the market in the medium to long term. Stick to your longterm plan and don't let shortterm headlines push you into impulsive decisions.That's all for this edition of Spy Trader! This is Captain Cashflow signing off, wishing you profitable trading!

Market Roars: Highs and Headwinds

Fresh news and strategies for traders. SPY Trader episode #1268.
Hey everyone, and welcome back to Spy Trader, your goto podcast for navigating the financial markets! I'm your host, Barney Bullish, and it's 6 pm on Thursday, June 26th, 2025, Pacific time. We've got a lot to unpack from today's market action, so let's dive right in. The US stock market is absolutely roaring, with major indices flirting with or hitting alltime highs. The S&P 500 is making a strong run at its record, trading around 6141 to 6150 points, up a bit today. The Dow Jones has also seen healthy gains, though it's still about four percent shy of its record. And the techheavy Nasdaq Composite is just six points away from its own record close, powered by a nearly one percent gain today. We're seeing a much broader market rally, with technology leading the charge, up over one percent. Chip stocks are on fire, thanks to upbeat earnings from companies like Micron. And big tech names like Nvidia, Broadcom, Amazon, Alphabet, and Microsoft were mostly higher, with Nvidia and Microsoft both hitting new record closing highs. A notable mover today was Enphase Energy, which skyrocketed nearly 13% after news that federal tax credits for residential rooftop solar installations might be maintained in the new budget bill. On the geopolitical front, a ceasefire in the Middle East has significantly eased tensions, which is definitely helping support this rally. There's also talk of progress on trade deals, adding to the positive sentiment. And the Federal Reserve's dovish tone, alongside discussions about potential new Supplemental Leverage Ratio policy, is pushing shortterm interest rates down, with twoyear Treasury yields dropping seven basis points today. In commodities, Brent crude oil is up about one percent, while natural gas continues to fall. Metals, especially copper, are higher thanks to supply dynamics and improved conditions in China. We're also keeping an eye on Nike's earnings, which are due out after the close today. Now, let's peel back the layers and understand what's really driving things and what potential bumps are in the road. This strong uptrend is clearly fueled by a few key factors. First, that deescalation of tensions in the Middle East has removed a big cloud of uncertainty. Second, the Federal Reserve's decision to keep rates steady and their hints at potential rate cuts later this year are a big plus for stocks, making borrowing cheaper and stimulating economic activity. And while the US economy saw a slight contraction in the first quarter of 2025, it's expected to rebound nicely in Q2. Job growth, though slowing, is still resilient, supporting consumer spending. However, we can't ignore the headwinds. Tariffs are a major concern. They're already contributing to higher inflation, and we're seeing their impact on certain sectors, like manufacturing, with job declines. Experts predict tariffs could peak at over 20% by late 2025, potentially leading to 'policydriven stagflation'—where prices go up and growth slows down. This could squeeze corporate profit margins and curb consumer demand in the second half of the year. Also, much of this rally has been driven by a few megacap tech stocks, which can be a sign of a narrow market, making it potentially vulnerable if those specific leaders falter. And overall GDP growth forecasts for 2025 have been revised downwards, with job creation also expected to slow considerably. So, how do we navigate this mixed but generally positive landscape? Here are a few concrete recommendations for you, our savvy Spy Traders. First, maintain exposure to resilient technology and growth sectors. Companies in AI, semiconductors, and cloud computing are leading the charge for a reason. They're often less impacted by traditional economic slowdowns and benefit from longterm trends. Consider funds or ETFs focused on these areas. Second, evaluate and diversify beyond just the megacap tech giants. While they've been great, a narrow market can be risky. Look for opportunities in other strong sectors like Consumer Discretionary or Industrials, especially those with solid earnings outlooks, or even small and midcap funds to broaden your market participation. Third, keep a close eye on inflation and the impact of tariffs. These are big unknowns. Companies with strong pricing power or diversified global supply chains are better positioned to weather tariffinduced cost increases. Think about more defensive sectors like consumer staples or healthcare during uncertain times. Fourth, adopt a flexible fixed income strategy. The Fed's path on interest rates is still a bit murky. Shorterduration bond ETFs can help mitigate risk if rates unexpectedly rise. A laddered approach, mixing different bond durations, could also be smart. And finally, always maintain liquidity and rebalance your portfolio periodically. Economic forecasts still point to a potential slowdown later in 2025, and policy uncertainties persist. Having cash on hand lets you jump on market dips, and regular rebalancing keeps your portfolio aligned with your risk tolerance and longterm goals. Trim those big winners, and consider adding to solid companies that might have lagged. That's it for this edition of Spy Trader! Thanks for tuning in, and remember to always do your own research and consult with a financial advisor before making any investment decisions. I'm Barney Bullish, and I'll catch you next time!