Originally released February 17, 2026 · 01:16:02
Listen to the episode
Open episode audio · View the episode on Libsyn
From the original episode description
The Dow at 50,000 made headlines and even drifted into political theater, but beneath the surface this market is clearly split into two very different trades. The QE rotation continues to power industrials, energy, materials, utilities, and the equal-weight S&P, while the AI trade has stalled, particularly in software, as valuations reset and narratives swirl around CapEx, disruption, and whether the infrastructure cycle has peaked. In this episode, Mark and Matt break down the technical structure behind the divergence.
They explain why the S&P continues to stall near 7,000 while RSP trends higher, what the MACD is actually signaling about momentum control, and why strong earnings and record profit margins are not the source of recent weakness. The feature segment then tackles the biggest AI questions investors are wrestling with right now and shifts toward the longer-term labor implications that could reshape the economic landscape.
In this episode
Divergence between the QE rotation and the AI trade
Index structure, momentum, and earnings context
AI investment questions and longer-term labor implications
Explore more Trading Justice episodes · Follow on Apple Podcasts
This is an archived episode. Market conditions and references reflect its original release date.
