“People are buying things that are giving them a quick return, like the market, like crypto, like gold.” – 02:36

Peter Tuchman, Senior Floor Trader at TradeMas, joins Remy Blaire at the New York Stock Exchange who provides his expert insights on the market’s trajectory. The discussion begins with a focus on AMD’s recent AI chip supply deal with OpenAI. Peter elaborates on the broader implications of this partnership, referencing comments from the CEO of SoftBank regarding NVIDIA’s valuation and the escalating demand for chips and data centers driven by the AI revolution. He highlights the substantial capital expenditures being made by major firms like Google, Microsoft, and Oracle in AI, suggesting that collaborations like AMD’s are a strategic move to leverage existing infrastructure rather than building from scratch.

As the conversation shifts to the effects of the government shutdown, Remy and Peter discuss the economic data blackout it has caused, particularly the delay of the jobs report, which limits the Federal Reserve’s ability to gauge the economy ahead of its October rate decision. Peter expresses confidence that the Fed will still find ways to gather necessary information, indicating that an interest rate cut in October is a possibility, despite the prevailing uncertainty.

The segment also delves into the current market sentiment, characterized by a wave of irrational enthusiasm among investors. Peter notes that this enthusiasm is driving investments across various assets, including stocks, cryptocurrencies, and gold. He emphasizes that the market is forward-looking, with investors focusing on potential growth through 2026, and he anticipates a robust market performance as the economy enters a cycle of interest rate cuts.

Before concluding the segment, Remy and Peter discuss key market levels to monitor, including the Dow, S&P, and NASDAQ, all of which are nearing significant milestones. Peter underscores the importance of these numbers as indicators of market confidence and investment activity, sharing anecdotes from his extensive career on the trading floor to illustrate the rapid acceleration of the market and the substantial capital being deployed.

“Right now, we’re in an environment where basically any piece of news can be taken as good news.” – 01:22

Steve Sosnick, Chief Strategist at Interactive Brokers, joins Remy Blaire to discuss the current economic landscape in the United States, particularly in light of the ongoing government shutdown. With Wall Street reaching new all-time highs, Remy highlights the absence of the September jobs report due to the shutdown, which has led to a reliance on alternative data sources. The episode begins with a review of the ADP report, which reveals a significant drop in private payrolls by 32,000, marking the largest decline in two and a half years. Additionally, August’s job figures are revised downwards, indicating a loss of 3,000 jobs.

They discuss the disconnect between the slowing hiring momentum and the rising stock market, with Steve noting that the current market psychology interprets news—whether positive or negative—as beneficial for stocks. He explains that the lack of jobs numbers removes one potential impediment for the market, allowing it to continue its upward trajectory.

The conversation shifts to the implications of the labor market for the Federal Reserve, as Remy and Steve explore how the absence of official economic reports complicates the Fed’s assessment of employment and price stability. Steve emphasizes the importance of jobs data in the Fed’s dual mandate and discusses the challenges of piecing together the economic picture with limited information.

As the segment progresses, Remy and Steve examine recent trends in various market sectors, including pharmaceuticals and chip stocks, which have seen gains. Steve points out that government involvement in these sectors, such as investments in companies like Intel and Pfizer, has contributed to their positive performance. He also notes the importance of diversifying investment interests beyond the crowded tech sector, encouraging a focus on fundamentals.