Let's bring in the great Jay Woods, chief market strategist at Freedom Capital Markets.
Um, dude, I'm gonna let you take this wherever you want, but kind of a disconnect here between where oil look at WTI and Brent, yeah, split in kind of different directions, but investors shaking it off for the S&P.
Yeah, without a doubt, the investors are focused on one thing, it's the tech trade right now.
Technology is back, and that's the leadership you want in a bull market.
But when you look at the overall indexes, why are they making new highs?
Because Technology makes up the majority of those indexes.
So while energy stocks continue to tread water or hold on to those gains, it hasn't translated to the rest of the economy, the trepidation we feel when we go pump up that gas tank of ours.
I know, I mean, you may be electric, JD, but I go through a lot of gas week and it's not fun. $45 every time I fill up and growing.
So as this goes on, it will.
Have an impact on the consumer right now.
Earnings season is not showing that, and we're not getting a lot of companies too concerned about it at this time.
I'm concerned, but right now the market is shrugging it off, and we're focused on earnings, and we've got a ton of them next week.
You like to see when you talk leadership, you want to see the generals at the front of the pack.
The MG 7 having a very strong tape today.
There's an interesting phenomenon going on with tech.
What's old is new again.
Dell, Rippon, Cisco, eBay.
Intel, huge story of the day.
I forgot what year it is when I see these names outperforming, especially Intel today.
What did you see there?
I had great hair when those stocks were back in, back in vogue.
Did Compaq Computer come back too?
I missed that one.
Check that chart.
I did not.
What am I seeing?
No, I'm seeing, as you said, the general's lead, and Intel, ever since they did that deal where the government backed them by, you know, buying 20% of their shares at $20 a share.
By the way, companies have seemed to say, hey, we might want to give Intel some business, so it's been a great thing for them.
Today they announced a possible partnership with Elon Musk.
What that is we're still not so sure about, but Intel hitting it on all cylinders, strong demand, and that is in part because, hey, look, the government's in business with them.
Other people want to be in business with them as well.
The rest of the technology, it's semiconductor.
It's hardware that's base doing remarkable software still verdict out there.
That's why Microsoft is going to be so crucial to watch when they report Wednesday after the belt.
How do you think about those earnings?
Let's talk a little bit more about them.
We've got Microsoft, Amazon, Meta Alphabet.
We've got some defensives like Coca-Cola, healthcare names.
Got Merck and Lilly reporting next week, and you got the top dog in the Dow, which ironically is Cat, Caterpillar.
The top dog is, here you go.
Yeah, you like that one.
I'm gonna use it in the newsletter if you want.
How do you approach a week like this?
This is the big one.
Yeah, this is our Super Bowl, so I won't sleep all weekend.
I'll be just going through charts, studying, a lot of no no's, but no, no.
How do we, we approach it like we approach any normal earnings.
The beat, OK, we expect them to beat.
What is the guide?
What are the headwinds that these companies see?
We've seen companies, Meta, hello, beat last year.
It went up 10% the day after they beat.
And then it faded.
So is sentiment going to follow what we see as good earnings now, or are people too concerned about what may be in the semiconductor space?
They still see that growth in some of these other names.
Meta ad spend, is it going down?
AI is that story?
Are they spending too much?
So we're going to look at CapE spending.
We're going to look at future growth.
And in the software, we're still on a major story.
The story of the year.
Forget Iran for a second, which is hard to do, but AI. is eating a lot of these AI software companies because they're replicating those products that they were so revolutionary for.
You look at a Service now, you look at an Adobe, Unity software, these stocks have not come back.
Microsoft may be able to lead the way, but ServiceNow is telling this week, and I don't know if we're going to see all these stocks come back in maybe 20 years they will, as you mentioned, Dell making new highs and all these old school eBay back.
I didn't even see.
The eBay chart is up and to the right.
We'll talk about that much more.
Um, good luck studying your charts.
I hope you watch Sixers Celtics.
You got a lot of good stuff as a Philly sports fan.
Oh, you got Flyers, flyers, pens, yeah, and I, I may even bet on them on the polymor, the Broad Street Bullies, they still call them the bullies.
I, I, I, I just followed Gritty.
He's the coolest mascot outside of the Philly Fanatic, and we go with that.
Thank you for being here.
Always a pleasure.
Happy Friday.
Have a great weekend.
Happy Arbor Day, everybody.
Happy Arbor Day.
We need that one.
Jay Woods.
Thank you for kicking us off.
