It’s been nearly a week without a new all-time high for the S&P 500 - and judging by the tone from investors and financial media, you’d think the bull market had packed up and gone home.
The headlines this morning zeroed in on artificial intelligence: “Rising Concerns Over AI Valuations” and “The AI Bubble Starting to Crack.”
Let’s be clear - we’ve heard this song before. Every major innovation cycle brings skepticism right after the first leg higher.
The same was said about the internet in 1999, smartphones in 2007, and cloud computing a decade ago. Each time, temporary corrections turned into historic buying opportunities.
Palantir and Uber: Good Numbers, Bad Reaction
Two of my holdings - Palantir (PLTR) and Uber Technologies (UBER) - both reported solid third-quarter results.
Palantir beat expectations and raised its guidance, even hitting a new all-time high in after-hours trading. Yet by this morning, it was down roughly 5%.
Palantir Technologies Inc.
Uber did the same - beat and raised - but the stock also fell around 5%.
Uber Technologies, Inc.
What’s going on?
This is classic late-stage bull market psychology. Expectations get so high that even strong results aren’t enough. Investors aren’t rewarding “beats” anymore - they want “crushed estimates.”
And when stocks have been on a strong run, even a whiff of perceived weakness is enough for traders to lock in profits.
Trade War Profits Are Back
Breaking news: China just walked away from key U.S. trade talks —
and markets are reacting fast.
Most investors see chaos… I see opportunity.
Because history shows every tariff cycle creates massive winners —
the companies positioned on the right side of the trade war.
In my latest video, I reveal the top “Tariff War” stocks set to surge as America
doubles down on manufacturing, energy, and supply-chain independence.
The Media’s Favorite Game: Panic
Meanwhile, the media is always ready to turn uber-bearish on a moment’s notice. (Yes, pun intended.)
Even from 35,000 feet - literally, I’m writing this on a plane - I can see the financial talking heads shifting their tone overnight from “AI is the future” to “AI bubble bursting.”
Let me be crystal clear: short-term pullbacks are normal and healthy.
My Take: The Setup for the Next Move
A modest correction - 3% to 7% - would actually be welcome. It shakes out the weak hands, resets valuations, and gives long-term investors better entry points.
I’m not concerned about a new bear market.
In fact, I’m hoping we get that pullback before year-end, because it would set up some fantastic buying opportunities in the strongest trends of our lifetime - AI, robotics, electrification, and next-gen transportation.
If the “party” really is over for the week, I say: good. Because when the crowd panics over short-term noise, that’s when disciplined investors make their best long-term moves…
Here’s to the future,
Matt McCall
Editor, Market Insights
