Fast Money Blog- 10/3/25 (Copy)

This week on Wall Street, all eyes were on the stock market’s response to the U.S. government shutdown.

There has still been enthusiasm in AI stocks, even though there’s really no revenue to substantiate the increase in their stock price. This is usually a sign of a sector correction. In other words, when stocks start moving without revenue to back it up, they usually correct themselves over time. 

Stable stocks with substantial revenue like Apple, (AAPL), Amazon.com (AMZN), and Walmart, Inc. (WMT) were less heavily traded over the past 5 days. 

Take a look at the price behavior of the following stocks over the past 5 trading days:

Apple, Inc. (AAPL) moved between an intraday low of $253.01 to an intraday high of $258.48.

Amazon.com (AMZN) moved between an intraday low of $216.61 to an intraday high of $224.20

Walmart, Inc. (WMT) moved between an intraday low of $99.87 to an intraday high of $103.94

Over the next 7 days I expect to continue to see AI stocks increase in volatility, despite a lack of substantial revenue, while stocks with stable revenue growth (such as AAPL, AMZN and MA) react negatively to the government shutdown. 

This is known as bifurcation, which describes a market split into two distinct, divergent parts. This creates a "tale of two markets" where different types of companies have vastly different outcomes. 

Stay open. Stay disciplined.

Tyrone Jackson, The Wealthy Investor