00:00 Speaker A
Guess what, story is transports are still climbing back, filling the gap. What does that mean? Well, uh just a kind of a technical formation, but let’s check out the heat map first. And this is what’s happening today. And you can see a lot of green here. Going to go through this kind of quickly. Here’s the year to date, even with last year’s route and that big AI scare trade, most of these solidly in the green. Uber is a big uh exception to that. But uh let me show you what I meant by uh filling the gap there real quickly. And we’ll go to the DJT and there we go. So if I put, let’s say a three month with candlesticks, we can see we had this big uh downdraft here and we are now almost back up to the uh prior close after that big day of drop. So, uh point is that we’re filling the gap and transports are just about to record highs again. And since we were on the subject of uh what’s doing well that was smashed last week, I thought we’d take a look at software. Software is looking good today. You see Shopify up 7%, some other big names up nicely. Here are asset managers and brokers and you can see a lot of green on this screen as well. And finally here’s real estate, not quite the same story, but nevertheless. You get the idea, it looks like a lot of the AI scare trade was just a little bit overblown.
01:21 Speaker B
What about mega cap tech, the Mag 7? Anything good for us?
01:23 Speaker A
You know, the mega caps have not done that particularly well this year. Apple is the only one in the green for February. It’s just by a tiny amount, but there was some interesting news that came out uh on their augmented uh AR ambitions and that has to do with the glasses and some other wearables, uh maybe something to do with their buds. Uh but let’s go to a heat map and just uh, before we do that actually, let’s check out a clip. I have uh I I had the opportunity to talk to David O’Connor today, BMP Parabas uh chip expert analyst and he used to work in the field. For 10 years, he was a chip designer and here’s what he’s saying about these Apple products and related.
02:07 Speaker C
We were at CES in January, the big obviously electronics show, happens every January in Las Vegas. And I would say every second booth at the show was pretty much around AR glasses. Um, lots of Asian suppliers, um, you know, showing their wares basically. Uh, lots of US companies involved in this. So, certainly you can feel that the technology is now on that cusp of adoption. And for for sure, I think this year we’re going to see it as a as probably the number one holiday product would be my guess.
02:38 Speaker A
Yeah, he said the way he laid it out, this is just going to be a huge doorbuster uh for the holiday season and probably before that. So I’ve got Apple’s intraday up here, but let’s go to the five year because the long-term is what matters. and here is a nice trend line. You can see it’s just been bouncing off of that. Way down here at the April lows, it was only a 2.6 bill or trillion uh uh dollar company. Now it’s up to what, 3.8, something like that. But here are the record high. So it’s closing in pretty close to those record highs and we’ll have to see if it can regain that crown and kind of lead AI and the mega and the mega caps once again, even though it’s not investing in AI, which I think is the ironic part.
03:17 Speaker B
All right, it’s Wednesday. Want to talk commodities?
03:20 Speaker A
Let’s do that. And we’ve been talking a lot of gold and silver. I thought we’d talk about some crude because that’s what caught fire today. This has to do with geopolitics. So it looks like the deal with uh Ukraine and Russia has kind of stalled out here. and in addition we have tensions with Iran, anytime they use the straits of Hormuz and that gets in the headlines, you see a big spike. And in fact, we saw the biggest spike in crude oil in nearly uh four months. So 4.27% is nothing to sneeze at here. Let’s get the one-year perspective and you can see we’ve just been kind of chopping around. Here’s today’s action. So it doesn’t look that big in terms of uh this chart right here. Uh but this is a whole lot of sideways. And in fact, if you take a look at the five-year chart, and here’s the real geopolitical. This was the original invasion of the Ukraine of Ukraine by Russia. Um, so that got up to about $130 intraday, but this has been a gently sloping down trend line and where this would meet right here is about $70. So I don’t see crude oil, at least WTI going more than $5 a barrel higher without a major, major catalyst. and it looks like the news today is just not anything close to that.
04:26 Speaker B
All right, that’s crude. What about metals?
04:28 Speaker A
Let’s take a look because on our commodity boards in the upper left here, we got silver that’s up 5%. I was going through some of the technicals yesterday. I said uh we didn’t see the strongest showing, but uh still kind of just even though we broke a little bit of a support here, uh we were able to climb back above. So we’ll just call that some sideways action right there in silver. I also called out copper, HG equals F. There we go. up 2.46%. So it fell below its 200 day moving average and now it’s like right back up there. So not a whole lot there.
05:01 Speaker B
All right. Thank you, Jared. Appreciate you, buddy.
05:04 Speaker A
Thank you.