Midday Market Buzz

Fresh news and strategies for traders. SPY Trader episode #1178. Hey there, Spy Traders, it's your pal Bubba Buckets here, and welcome to the midday market rundown! It's 12 pm on Tuesday, May 20th, 2025, Pacific time, so let's dive into what's shakin' in the financial world. Alright, folks, here's the gist. The S&P 500 and Nasdaq are both down a smidge, about 0.3%, while the Dow is just hanging out, not doing much. But hey, the S&P is still only about 3% away from its alltime high, so no need to panicsell your Beanie Babies just yet! Now, let's talk sectors. Consumer Discretionary and Utilities are the cool kids today, outperforming everyone else. Tech and Real Estate? Not so much. They're kinda sitting in the corner with a dunce cap on. But remember, Trendlyne.com is saying Telecommunications and Realty are strong, while Schwab is playing it safe with a neutral rating across the board. So, who knows, right? In news, it looks like the US and China are playing nice, at least for now. They've agreed to ease up on tariffs for 90 days, which is like giving the market a little sugar rush. But Moody's threw a wrench in things by downgrading the US credit rating because of that $36 trillion national debt. Yikes! On the company front, Tesla got a boost because Elon Musk is sticking around for five more years. Home Depot says everything's still on track, and everyone's holding their breath waiting for NVIDIA's earnings report. Apple, Microsoft, Nvidia, Amazon, and Meta are all having a bad day. Finally, Inflation rose a tiny bit in April, but it's the smallest increase in years, so that's a win! So, what does it all mean, Bubba? Well, those trade talks are a doubleedged sword – good for now, but expect some bumps along the road. The Fed's playing coy about interest rates, and that downgrade from Moody's is a bit of a buzzkill. Keep an eye on that GDP growth – gotta keep it healthy, folks! Time for Bubba's brilliant (maybe) trading tips! First, spread your bets! Diversification is your friend when things are this wobbly. I'd still recommend overweighting stocks, especially those big and mediumsized US companies. Think about putting some chips in sectors that don't get too stressed out by the economy, like consumer staples and utilities. And if those trade tensions keep cooling off, tech might be a good place to be. Keep your eyes on those earnings reports, and don't freak out if the market dips – those corrections are just a normal part of the game. Stay cool, stay informed, and remember Bubba's always got your back!