Investor's Edge with Gary Kaltbaum - AI IMPLOSION [08.28.2026]

Episode Date: August 28, 2026

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Investor's Edge with Gary Coltbaum. Straight talk about you and your money. Now from the BizTalk Studios, here is Gary Coltbaum. And welcome once again to Investors Edge. I'm Gary Coltbaum, your host. A thanks for being with us today. Glad you're here, ladies and gentlemen. Happy that you are listening.

It's Friday, the 28th, August, 2006. Hope you're having a good day. Hey, ladies and gentlemen, we talk markets here. Today is one of those sore thumb market days out of your handsome and buffed toast. It will be a furthering of what we've been saying about certain important area in the market. Please listen, because our number one goal has always. been, when things go awry, protection of capital, mui importante. And in case you don't know, this is serious talk on everything that affects you. We will do the markets. We'll do the

economy, your job, your industry, central bankers, debt, deficit, scams, shams, insider trading, corruption, self-dealing, and all that crap out of D.C. And if you do not get this radio show in your city, we'll post it at garyk.com. We'll also post it on our X feed. If you don't follow us and X, just go on there, put our name in. And if you'd like to email us, you'd just be nice and respectful. Be nice and respectful back unless you like Hamas or you're a racist or you robbed the bank today or all that. We'll also post it on Biz TV YouTube channel.

Okay, what did I say? Sorethum. What do we mean by sore thumb? Things that stick out in the markets. Things that are just popping you in the head. Things that no matter what they do, Wall Street will not give you any help because they never learn from bearish phases in the market.

we have highlighted for you for years how there have been stocks that have dropped 75% and then they go from a strong buy to a hold. We don't want that ever happening with you. So let me be clear about something. Numero uno, notice all the Spanish today. It's about all I know. We have been harping on the, not bullish action being nice on the all-important, very noisy, very talked-about artificial intelligence trade slash the semiconductor trade. And we have been harping on this show, on TV. Yesterday I was on TV,

on the Varney show, I don't know if I surprised them or not, but I said we are not bullish on semis and AI. And we said that technology, the place that would be would be software. And we'll see how that goes. So as we have been telling you, there are stocks. I saw somebody today on TV, say, continuation of the artificial intelligence bull market. and I must tell you I wanted to throw something at the TV because that's screwing the audience. I have every, just about every artificial intelligence stock, whether it's construction of data centers, data centers, and by the way, the construction and the data center stocks have been crashing.

Do you know why? all the talk of nobody wanting data centers, duh. But it's not just that. It's the memory. It's the semiconductors. It's the electronics. It's pretty much everything. And we define bearish, bare markets by trading under the 50-day moving average

and stair stepping downwards of differing levels. I have some stocks and artificial intelligence that have crows. crashed. Crashed. I have a lot of them that are down in the 20s, if not more. And yesterday we had NVIDIA. Big move. But we have been harping on not just stocks, but the credit default swaps. debt and every day somebody else is wanting more debt and more debt we tell you I don't know if that's good news or not you know what we mean when we say that so we come in today after this big move by invidia yesterday and it helped the semiconductors were up pretty decently yesterday but still not looking good the artificial intelligence stocks they were

better yesterday, but nothing that earth shaking, nothing really in uptrends. I count on one hand how many stocks are actually above that all important 50-day moving average and nothing ascending. So we come into today and we'll get into the new central bankhead Kevin Warsh a little bit later. but the semiconductor index was down 412 points today, given back everything from yesterday that gapped up and more. Even more surprising was Nvidia today, down 10.5 bucks already filling the gap from yesterday. Huh?

And then as I just walk through, artificial intelligence type names. L-I-T-E, which has been one of the strongest, down 61 bucks. Seagate, down 18 bucks. Or is that more? How about 21 bucks? Marvell, on their earnings now,

and this is not a rip. It's a fact. The CEO of NVIDIA came out and touted Marvell back in June, that it was going to be a $1 trillion stock. And if memory serves me right, on that note from him, the stock went from 250 to $325 within days. It's $216 today, down $25 bucks on their earnings. Terradine down 16, tower semi down 11,

arm holdings down 16, analog devices down 12, ASML Holdings down 38 applied materials down 21, Lamb Research 16, KLA 8. By the way, those are the equipment makers. And then as I look to my left, you know when I say a big wow? That is my screen of topped out technology. Fix, you know how we talk about fix, the construction of these, down 96 bucks. today. How about IESC, another one, down 24 bucks today, 7%. They're murdering these stocks. So we're just letting you know, listen to me carefully. We're going to state facts, not the opinion of people that say, don't worry, everything's okay.

The semis and the artificial intelligence today. And we don't know what happens Monday. We just, know they're in down trends and you better be careful and we're going to draw some lines for our peeps this weekend and as you know we talk about bear market and bull market roadmaps all we can tell you so many of these names almost all of them tracing out bearish phase whatever's and you can say bear markets are 20 percent i i don't care i care about trends the trend is down for these areas How far they go, how long it lasts, I have no idea. But today was a big, fat, juicy, sore thumb considering NVIDIA's reaction yesterday and NVIDIA's reaction today. That's all on that.

MPWR down 54 bucks today. NVMI down 21. O N-N-T-O down 21. A-E-I-S down 14. We're talking 5, 6, 7, 8, 9, 10 percent. SITM down 42. They're murdering the semiconductors. They're swearing to you don't sell these.

We're telling you they're in bare phases. They topped out weeks and weeks and weeks ago with the widened loose action at the top at the tops after the rallies up. And I must tell you, I'm surprised today. Up next, what else be going on? This is the one only Investor's Edge. Hi, I'm Gary Kalbaum, hosted a nationally syndicated radio show Investors Edge. We're not just handsome radio people. We manage investors' money for a living, specializing in fee-based discretionary money management.

No big commissions, just a fee on the assets that's managed. We also provide a full range of personalized services, including retirement planning, fixed income, and educational needs. all to assist you in achieving your financial goals. Understanding not all individuals have the same needs, we'll carefully evaluate your personal goals to determine a proper investment strategy. If your current approach to investing is not getting you to where you would like to be,

call us to make an appointment for a complementary portfolio review. The number to call is 888-4-22-559. That's 888-4-2-2-5-59. That's 888-4-2-2-2. $5.55.59. Investment advisory services offered through Coltbaum Capital Management. It's time to switch on the integrator units and get the brain cells working. You're listening to. Hey, this promises to be fun. Investors Edge. The last bastion of quality programming.

With Gary Coltbaum. It doesn't get better than this. And welcome once again to Investor's Edge. So we always try to extrapolate. Why is this going on with all this bullish talk? And we're just going to repeat. We don't know except to tell you the facts of circular financing, massive amounts of debt, a new statement out of Envidia, which I don't, I mentioned yesterday to you, but I don't think anybody cared about. Maybe they cared about today about them the credit of over $100 billion to some entity. that is going to buy their stuff? What the hell is that?

So stay tuned. We're going to stop of it each and every day. But these areas did nothing today. Nothing. Zip to chase away the bearish phase that has been going on. And I know what I'm going to find when I scan. It ain't pretty. Software had a huge day yesterday.

Huge day. I will tell you that RBRK down 14 today, a big drop on their earnings after it was up big yesterday. That's software. Auto desks down 10 today. That software, symbol S, down about 6%. That's software. But work day, which was down markedly yesterday on earnings,

finished up 11 and another software. name ESTC. I'll give you the symbol. That was up nicely today. I will tell you you had pullbacks, but not as Palo Alto networks down 11, was down 20. Crowdstrike, I think was down 15. It was down 9. Net was down 8. I think these software names are in shape right now, but yesterday was what we call an outlier move. To me, that means, and we've seen a lot of this just too far

off of the earnings report and it's going to need time. What else happened today? Well, they went after the big guys on a good way. Amazon up 10. Somebody upgraded it. Apple up 5. Microsoft up 8. Microsoft is up 13 at one time today.

By the way, that's software. Google, up 6. and I always wonder if all these other areas of technology are being sold are they part are the technology people parking their money and the big guys? My answer is I don't know but it's certainly kind of sort of

today advanced declines were really bad today 1533 on the NASDAQ 1629 on the New York there were more new yearly lows on the NASDAQ than new yearly highs but there was a lot of the things going on in the market today. A lot of the things that were going on.

As you know, we have no use for our central bank. We think they do nothing for nobody. They've never created a job, produced nothing. All they ever done is moved. They were supposed to only move the Fed funds rate. Go look it up. Quarter point up, down, up, down. Maybe a little bit more, maybe a little bit less.

But their job was to promote jobs, right, and stabilize money, right? And of course, Ben Bernanke, that jackass, opened the spigot with his printing of money, that he said, don't call it printing of money. So they came up with quantitative easing that jackass. and he said the printing would be very short term, and he lied that jackass, who everybody called the hero that he saved the financial system with his moves, even though he was part of causing the financial system almost collapsing.

Anyway, that led to Jay Powell, the nightmare, Jay Powell, printing to $9 trillion causing all kinds of inflation, never seeing it coming with Janet Yellen, who was in between, the central banker Bernanke and Powell, and then finally was forced to admit it and then played big time catch up. And not until he played big time catch up did the inflation rate start to come down. And all the blame went on Biden, but that's all political. It wasn't on Biden. As we have always told you, inflation is a monetary outcome from idiots running the Fed. and how do we know this?

Well, the politicos blamed Biden and said it was his spending that did it. Well, Trump has taken the championship belt away from Biden on spending. Why is the inflation rate down? You hear me? You got to be careful about the BS artists. Just remember, the politicos do not care about you. They'll just make crap up. You know that, right?

And of course they kiss your butts three to six months before an election. And after election's over, they give you the middle finger. But I digress. So Powell is out. And you got this guy Kevin Warsh in. And I think I've told you, I love some things about him. Number one, Powell wanted to be a celebrity. Warsh

doesn't even want to be talked to. He is obviously given the mandate to the other Fed heads. I believe there's 11 others, maybe 12. Shut up. And now they hardly speak. At this point, it's every now and then the other

Fed heads comment. Under Powell, there were days where I said to you there were 16 different comments and they all contradicted each other. So that's number one we love about Warsh. Number two, it seems, and we have no evidence yet. I can only go by so far.

He's going to really make sure inflation doesn't pick up again. How does you do that? Remember what we said, it's a monetary outcome. He's not going to easy money. this thing. Easy money is what causes inflation. Printing of money causes inflation. Of course, debt and deficits also is a problem. So he came out today, and for lack of a better way of explaining, he was tough. Meaning, I'm not going to screw around. Meaning, the bet is he may raise rate soon. In spite of your president, who will start calling him a moron and all that very quickly.

But what does that do if our central bank raises rates up next will give you today's outcome? Interesting outcome. This is the one only Investors Edge. The crowd is just on its feet here. He's a Cinderella boy. With Gary Coltbaum. It comes highly recommended. You're going to feel better if you talk to him. So, when a central bank titans, it usually strengthens the dollar.

And as you know, our dollar's been weak. The dollar had a very strong day today. And guess what happened? When the dollar strong commodities are weak, week. The GLD dropped 3% today. It has been very strong. That's gold. Gold miners pulled back today also. Silver pulled back today. My whole commodity space had a real decent pullback today off of the stronger dollar. Crypto pulled back today off of the strong dollar. The five-year Now, this is the one thing that has me scratching the forehead.

Typically, if the bond market recognizes that the central bank is going to fight inflation, our bonds are bought up and interest rates come down. Interest rates jump today. In fact, I don't think I ever mention the five-year yield today to you guys. I usually do the 10 in the 30. The five-year yield broke out today. Big breakout. The five-year, 4.481.

The 10-year, 4720. We'll see. Not a good day. But I'm also asked about bonds and yields and the debt and deficits. Countries are selling our bonds. They don't want to deal with us anymore. And I have to say this, and I may catch flack off of it, but I don't care. They're selling Trump. They're selling Trump who's kissing the ass of the North Korea

doofus that kills his own family with hellfire missiles. He's kissing the ass of Putin who invaded Ukraine. yet he's ripping on Canada. It's insanity. And I think a lot of countries are just fed up with him, regardless that he keeps saying with the most respected, I got to tell you, I think we're the most disrespected now because

I'm going to change the name of Lake Ontario to Lake America. By the way, nobody in the world is going to do that. In fact, did I see it was Google Maps of somebody saying, screw you, we're keeping it Lake Ontario, something like that, or MapQuest. So there's a component, this selling Trump. They see he, for the first four years of Trump didn't do a thing about debt and deficits, and now it's out of control. So I think there's that component.

So we are watching yields so closely here. I mean big time closely. The five-year yield is on the verge of busting out big time. It just broke out of a one year. So stay tuned. Oil prices down a little bit today. And of course, there's going to be no attack of Iran anymore because of the election. Believe it or not, the administration came out and said,

we're not even thinking anything until after the election. Oh, gee. So that's good news. if oil prices. The problem is oil price is still in the 80s. I would have thought they'd be down in the low 70s by now. I don't know what's going on there, to be honest with you. So Warsh was out there and I love that they're quiet.

I like very much that it looks like he's going to think like me and adhere to the markets. And if yields go up, he's going to follow suit. Here's what I did not love today. He is like the rest that think that they are the economy. 162 million of us approximately go to work every day to do better for ourselves and our families. Our medical companies are looking for great breakthroughs just like Madern and Merck just did. Our technology companies want major technological advancements and we see that all the time. We're doing great things.

We're the economy. yet Warsh was out there today talking about how he will and will and will and will and will and will and this and that and if that happens they still think they're God with the economy by moving interest rates around that doesn't do squat they are the most overrated entity of our government and that is saying a hell of a lot of an inefficient, ineffective, and bloated government. So I wasn't thrilled with that. I was hoping for a little bit, what word am I looking for? Humble? I was looking for, you know, we know the economy is 162 million people going to work every day,

doing for themselves and the families. Oh, it sounds like Gary Kalbaum again. We know that, but we do believe we have some tools here and we will do the best we can. But no, his yapping was more of, we're the men. And we'll do this. And I saw a Fedhead or two on TV today. You know, they're in Jackson Hole. It was a woman, I believe.

Yeah, it was a woman. And I was going to throw up everything she was saying. Think about that. Yeah, we're going to move rates up or down, maybe print some money or not print some money, and we'll take care of the economy. We're a $30 trillion economy. They're insane. But again, there are some things I really like about this guy, and let's hope he follows through.

And if interest rates keep going higher, they're going to have to play catch up. And I do worry that we may have jumped the shark on debt and deficit and that's why yields are going up, as well as an out-of-control president that is, it's looting tunes now. You know what many social media posts he put out yesterday? Like 100? This is the president of the United States.

And by the way, some crazy crap also. Crazy stuff. I got people email me thinks they need a straight jacket and rubber rooms. unlike me, by the way. Go look it up. I'm not making this up. We wish the president well and hopes he does great things.

That's all I can say. We hope he does great things. We hope he makes the right decisions. We're less than thrilled. But most importantly, this weekend will be studying for my fantasy draft. I pick five. I think I've already put my first five. rounds together. I'm deciding at number five, when I'm going to take Taylor for Indianapolis or

McCaffrey for San Fram. McCaffrey killed me two years in a row. And then after I don't take him, he lit the house on fire. And he's older now, so I'm not sure what I'm going to do there. Yeah, we talk everything here. What can I tell you? What can I tell you? heading to Europe next weekend, some business and some pleasure. We'll keep you informed. We'll be doing shows from there. I believe we'll be six hours. So we'll be doing 10 o'clock at night there.

We'll be doing the shows, which is four, yeah, six hours. And we'll explain when we're there what we're doing as far as business. Hey, up next, this, that, and the other thing, whatever else. This is the one only Investor's Edge. You're listening to What are we waiting for? Well, what are you waiting for? One, two, ready, go.

Action! In the Gester's H. With Gary Culper. So, uh, I just tagged two shows in November for Rush in Hollywood, Florida. I believe it's the hard rock there. It's a smaller venue, which is going to be great. And I am going to chase them into Europe and do a couple of shows there also. I am also going to schedule the Eagles one more time at the sphere in Las Vegas,

though, you know, they're the quasi-egals because one of the people I love, Glenn Fry, passed away. But I must tell you, I saw them in London with Vince Gill and Deacon Fry, his son. They were fabulous still. And that's what I pretty much have left of all my favorites. That's about it. I don't think Billy, I don't know if Billy Joel's going to tour anymore. McCartney may tour and I may go see them, him.

But man, everybody's getting old. Getting old. By the way, Mick Jagger's like 83. Am I right in saying he's like 82 or 83? And the guy's still lighten up a storm? Age baby. Hey, we don't do this often. but I want you to go on Twitter or X

and check out a guy named Ed Z-Zitron, Z-I-T-R-O-N. I believe his handle is Ed Z-Zitron, at Ed Z-Zitron. As you know, I have worries about this whole artificial intelligent debt and all that, and this guy is, a hundred times smarter than me on all this and he is thinking like me and

he's very worried about this whole artificial intelligence circular financing he is really taken on Nvidia that he I read that depends on three to five customers and how it's $674 billion in 2028 revenues that we're predicting

are contingent on hundreds of billions of dollars of debt. And I do believe he put out a YouTube on that. I'm picking it up right now. I'm not sure if this is him. Yeah. He put something out on that also. And again, we are not tape. You know what we believe. There's something wrong. I am always worried about debt and deficits. And there's something not right.

And the latest, when I read about $100 billion something, something, That scared the hell out of me. It really did. So let's stay tuned on that. At the very least, you should not be owning these stocks. They're in bearish phases of unknown price and time. And Invidia that rocked yesterday, I'm very surprised it's down a big, juicy $10 today. But at the very least, everything is under the 50-day moving average, and a lot of things are in bare markets, kids.

bare markets in spite of what people have said. I was doing a deep dive on core weave yesterday, on how much debt they have bigger than their market cap. There's a lot of insanity going on, and we're going to stay in touch with it. Core weave, debt versus, This is market cap. I'm looking as I got you.

35 billion in total debt. That's insane. Heading to 60. And the total market capitalization of 45. Heavy reliance on debt. What could go wrong, ladies and gentlemen? Everything. So I hope you've been listening.

We mean business. when things go awry and embarrass phases. We mean business. And we'll keep you apprised. As always, our favorite line, if anything changes, we will let you know. But I got to tell you, today you surprise the hell out of me. And remember, our job is to read the institutions and stay on top what's going on. And we believe debt is a four-letter word.

And the numbers now are out of this world. We've never seen 1.6 trillion off the books debt, 1.3 trillion on the books, and a lot more to come. We are going to stay so on top of this, and we hope it works out. but rough day today that was only down nine because of a few big cap tech NASDAQ down 138

NASDAQ 100 down 208 The socks down 412 As we said advanced declines Putrid Rough day Rough day for commodities Rough day for semiconductors AI by the way

You know what else they're killing Space stocks you have a great weekend drive carefully when you get home do like we do make sure you hug your family hug your children they will feel better you will feel better i promise they will be well have a great evening bye bye this has been investors edge with gary cult bomb on biz talk to listen to past episodes or to get in contact with gary go to gary k dot com that's gary k dot com