Investor's Edge with Gary Kaltbaum - The carnage week in review [10.16.2026]

Episode Date: October 16, 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 here, ladies and gentlemen, happy that you are listening. It is what, the 16th of October, 2026.

And ladies and gentlemen, we will take a. serious tone today in the markets with the markets. We hope you have been listening. We have not been pulling any punches and we're going to have a few more things to throw at you today. And you probably really want to listen. Weekend soon. Yay! By the way, I'm in the midst of moving. And I must tell you so far, the movers, the people that have helped have been fantastic. My computer dude, fantastic. Things are going swimmingly, except for the markets, of course. We'll get to that in a minute. In case you don't know, this is a serious talk on everything that affects you. This is Investor's Edge. We'll do markets. The economy,

your job, your industry. The Morlocks in D.C., their debt, their deficits, their lies, they're cheating, their corruption, their self-dealing insider trading, and I can think of many other things. And of course, 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. And if you don't follow us on X, you should. And if you'd like to email us, you're going to be nice and respectful because we're going to be nice and respectful back.

Shouldn't be hard, right? Every now and then we get some goofball. Anyway, first, let me just get this out of the way. So they put up a press secretary for the administration. And all I'm thinking to myself, because she was not up for the job, she was not up to it. I don't believe she even practiced. Something like that, you should take a good two weeks, three weeks, whatever, in front of a camera. taking questions, taking tough questions, and practicing.

The reason I say this is because it ain't easy. That's tough as you know what. And the media is not going to be nice. They're going to ask tough questions. You have a president that you have to BS for. And by the way, I would say that for every president, for every press secretary. Anyway, she's out. And you know what?

She's the biggest winner of the day. thankless job and let me tell you what's wrong out there people are making fun of her because she didn't do a good job I mean holy crap leave the woman alone

she's had a rough few days she just lost the job people are making fun of her it's amazing what's happened to this world I feel for her and I know it has nothing to do with anything we're going to be talking about But I like talking about everything that I'm thinking about, you know. Next, we're not going to say who, but two famous big investment banks that you know who they are were out this week saying they are very bullish on stocks.

And a famous financial magazine did the same. I'm not sure we can be any more bearish right now. Just letting you know. So let's talk a few things here. Number one, for a very long while, we have been telling you that this core weave that now everybody's talking about was a big problem. The circular financing, the massive debt, the massive losses. If you open up a restaurant, and this is simplifying it, but it really means a lot, and you had to borrow in order to open that restaurant, whether it be from family, friends, or a bank.

I don't think banks usually are thrilled to lend for restaurants. And you have the debt. And you have to pay the open it and lease the place and hire people and get equipment and on a daily basis, bring in more food. and unfortunately, unfortunately, it's not working out. What must happen? You shut the doors. Because if it's costing you a dollar and you're bringing in a dime, you're done. And this is for any business.

Well, Corweave loses massive amounts of money, massive. billions and billions of dollars, but keeps getting bailed out by more and more debt because it's been an environment where you can do that. But the game is up. Ain't nobody giving them any more money except NVIDIA's CEO who came out yesterday to defend them. Of course they are. There's the circular financier or financier. Remember what we said to you. NVIDIA is more of a bank now. They were bank. And we also told you yesterday that Corweave hit 60, rallied up to 69. And I had somebody, what do you think of it now?

And I'm like, wait a minute, it was just $93. It's down $9 today back to 60. And all the talk now is worry. Worry, worry, worry, worry about. So let me tell you my opinion. I think they're going to have to be saved. I think they're going to have to be saved. Here's why.

Because the market is given them the middle finger. And I'm not talking about a small middle finger. You know when you go to a football game and somebody has one of those big fingers, but it's the index? No, we're talking the big middle finger. And we're not talking to stock that has gone from like 170 to 60. Their bonds are croaking.

And that means if they're going to raise money going forward, they're going to pay yields, even if they get somebody to lend them, that they can't afford. They're going to need to be saved. In what form I have no way of knowing what way, but that's my opinion. But in the meantime, we have also told you that you got to avoid this whole AI trade. they've been slamming the living crap out of them and every rally which has lasted maybe 8 to 10 trading days has faded and for lack of a better word now

they are crumbling them now even more I mentioned core we've down 9 to 60 but oh my goodness gracious the whole complex is getting mowed down today on top of yesterday that by the way you had a good bounce because of the Dow and we'll get to those in a minute And as I'm looking today, and by the way, we're getting towards the close.

It's 342. The NASDAQ's down another 618. The NASDAQ 100's down another 790. The Philadelphia Semiconductor Index is down another 410. Microns down 50. Sandisk is down 90. Seagate is down 50. Western Digital's down 22.

And they're the ones they tell us have the best earnings. Little do they know, this is not a prediction, but this is about history. A stock that has earnings falling off the cliff will drop 50% a couple of months in advance. And we'll see if that's the case here. S.K. Hynix, out of South Korea, has gone from 195 to 137 in the last 10 days. big part of the AI deal. But that's not all. We have been telling you about the semis and the AI

and all kinds of trouble there. But we've also been telling you, boy, some of these software names have been a port in the storm, especially the software security stocks. But also some enterprise software names also have been strong. And I must tell you, as somebody who does this for living, I have questioned myself on,

man, I should have bought a couple of these and I didn't. And the reason I didn't is because I've been so worried about the rest of the technology space. I'm like, how are these things going to go up? Yet they did. And I missed out on some moves. Nothing spectacular. And if I did it, it wouldn't be huge positions. They're crumbling them today.

Twilio down 30 to 243, snowflake down to 20. 29 to 306. Palo Alto Networks down 28 to 341. Opta down 23 to 18 to 18 to 18 to 20. 245. Crowdstrike down 18 to 226. They're murdering them. That ain't going to help. Up next, we'll follow through on that. This is the one only Investors 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 888-4-2-5-59. That's 8-8-8-5-59. That's 8-5-59. That's 888-4-2-4-2-4-2-5-9. Investment Advisory Services offered through call-bomb 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... firm. Investors Edge. The last bastion of quality programming with Gary called bomb. It doesn't get better

than this. Let's against Investors Edge. So it's 3.46 p.m. The Dow is down 250. The S&P down 94. NASDAQ 625, NASDAQ 100, 803. And now the software names that have been ports in the storm crumbling. It's the only word I can come up with. When you look at the chart patterns, crumbling. But here's the other part of the equation. What do we tell you about yesterday's action? We said to you, oh, man, the broad market woke up. Yields plopped down for a couple of days.

But the broad market is not in bull markets. They are in recovery. They've been down a lot and they're rallying up a little. They're not leadership yet. that's going to take time. You have to do what we call the stair steps. Well, today, they opened up the down right near the open at 5252. It was up over 400 points.

It's now down as I speak, near in the close 242. So they already reversed the down. they opened up the financials hot today. Goldman, I think, was up 15. It's down 13. J.P. Morgan was up nine. It's not even up three right now. The sea of green on my stuff screen in financials is about 75% red.

The transports rolled over badly already after one day up, down 240 as I speak. retail, which we talked about yesterday and said to you, boy, retail had a good day, but I only have this amount of names in shape. Open all green, 90-some-odd percent red, with some getting smacked hard. Housing is reversed into the red. Airlines have reversed into the red, economically sensitive is reversed into the red and as I said the semiconductors down 427 another bad day I wish I'd better to tell you

yields were all they were up big down a little they finished mostly flat but oil prices I've got the Brent this is the Brent 10968 up $3.766 today. I've got the light suite $99, $2.52 to the upside. The ETF that I follow is USO. Kids,

that looks like it's going to break out to new highs in the next day, which has me calling into question again, and it's a valid question. if as the president says we control the straight ton of oil we're producing this we're getting that we're doing this why is oil prices breaking out just about the USO it's the new US oil fund ETF breaking out to new highs do you know what that means at the pump You're going to get any help, kids. I'm looking at the chart now. If I can find it, yeah, I can. Of Brent to see if that is a new high for the Brent.

I'm not sure it is. Oh, it is. Brent is at a new high. Light sweet. And by the way, again, we are, are not into yapping. We are into facts. And again, the light suite is not at new highs.

But Brent is the most quoted that affects the pump. Most. So you're not going to be happy in the next week because you're going to see oil prices even higher than they are right now. I wish I had better news to give. you. Now back on technology and semis and artificial intelligence, I must say 40% drops is the norm now, if not more. I'm just looking at VIRT, a well-known past leader of data centers, stuff management products for data centers.

380 to 206. That's once, yeah, that's in the 40s. Just an example. Just an example. How about Intel? 142 to 90. That's 52. That's about 35%.

How about Broadcom? 500 to 329. About 35%. but then there are others. Sandus down 1,000 points, that's about 45%. And that was the leader. Anything else I'm saying right now today? No.

No, the Dow holds up best when things get defensive, as I always tell you. The Dow today is only down 0.42%. But the NASDAQ 100 is down 2.4. The Russell 2000 just obliterated down another 1.7%. Remember they told you how to own small caps? Well, you want to own small caps when they're working. On the upside today, defense stocks, they're bouncing. Oil stocks. Some of the refiners still strong. Consumer staples. And whatever's going on with tobacco? Any of you still smoke cigarettes? I'm not trying to blast your, putting you down, just asking, really? Get off of that crap. Anything else sticking out? Yeah, something else sticking out as we go to the close. Last September, I implored you, pleaded with you that all the scum were touting you on crazy moves in nuclear, quantum, rare earth,

drones and all that crap. I have used O KLO as the poster child. Up next, it's a holy crap moment. As we go into the close, this is the one only investors edge. I'm listening to America is talking. Investors Edge. He's got to be pleased with that. The crowd is just on his feet here. He's a Cinderella boy. With Gary Colbomb.

It comes highly recommended. You're going to feel better if you talk to him. And welcome once again to Investors Edge. So, Oaklow. And by the way, we have nothing against the company. We have everything against Wall Street, the stock, and the analysts. the BS artists. So they ramped this thing up from a SPAC

up to $194. And as it was going from $150 to 194, we were just pleading with you that they are given this thing a, I'm trying to remember the market cap they gave it. 8 times five. It's like 45. billion dollar market cap with no sales. We mentioned the other day it was $32. That was this week.

It's under 28 now. So 194 to 28. And here's the rub. It still has a $5.6 billion market cap. And those promised sales, there still aren't any. And we just want you to remember this. We big time want you to remember this. there were dozens of these names. And they were also in mining and all kinds of stuff. Do you remember Bitmine, B-M-N-R? It was another one that was $161.61. It's 21 now.

The quantum stuff. Holy moly what they've done there. You ready for this? Quantum scape. $133 to $4. Did you hear that? And they still have a $2.6 billion market cap. These are things we want you to never forget.

Because I promise you, we're going to have moments again just like this. I don't know what group it's going to be. We've had it in marijuana stocks, game stops. and the like. When you hear me talk about, it's got a $10 billion market cap, but no sales, that doesn't mean it's not going to go to $20 billion. It just goes back to my line.

What's our famous line? Eventually, ultimately, the valuations are going to matter, and they're all going to go back to where they came from. And that's what is happening here. And remember what we said, we loathed when we kept hearing from the president.

Oh, rare earth this, they've dropped 90% all those rare earth stocks that they touted and shouted to you. And we're like, the president's talking about no sales companies. They're all dropped. 90%. A bunch will go out of business. You got to have sales to stay in business, right? The same for drones and some of these others. And maybe some of these companies are going to make it big.

You never know. All we know is our line. If nothing changes, they're all going to go back to where they came from. So I just wanted to bring that up because I noticed we mentioned, it early this week when it was like 32. It's 28. It's down like 17% this week, this OKLO. I'm just looking at a couple of others as I peruse. Anyway, we're getting near the close. Oh, it's a market just closed. Dow down 176. So it rallied a little bit at the close. Chevron up five and change, of course. S&P down a juicy 84. Much worse than the Dow. Why? Technology. down 572, NASDAQ 100, down 748, Russell 2000 down almost 2%. Transport's down 228.

It was not a good day. They advanced the clients, which started off good, ended bad. And you had almost triple the new yearly lows versus new yearly highs on the NASDAQ. And I repeat, just an opinion. I believe Corweave is one of those restaurants. On a much bigger scale, of course. and as the yields go up, it's going to get tougher and tougher and tougher. And as I go through my screen today of artificial intelligence names, another bloodbath.

As I go through the semiconductors, another. And leading names like Dell down another 21 today. AMD down another 33 today. Micron down 51. sand this down 95. This is some real world crap while they're telling us what a bull market. What? And now it's not about the big indices anymore because they're starting to get them.

And as we have told you, we have been hiding in the big indices. Not so sure that's going to continue. Of course, you know, I forgot space stocks also. So they've crashed, no pun intended, and I probably should use a better word. They've crumbled the space stocks. Remember Rocket Lab? 151 down to 51. Last I looked at 65%.

65% highly touted symbol ASTS, 133 to 40. Another 60%er. We want you to remember all this because we and you were warned. And now the big indices are buckling under the weight of technology, AI semis, and now maybe the software. And when I mean they came after them with a VIM and VIR. bigger today. And it wasn't Aunt Mary and Uncle Bob selling. This would be institutions. How do we know? Volume B heavy. Palo Alto, 55% more than average. Volume B heavy. Crouch strike more than average. Octa more than double average volume. We're now on a void. on the software stocks also. So heading into Monday,

less than thrilled, wish we had better news, but oil prices look to be breaking out again. The AI trade is buckling and technology, which has such huge influence on the big indices extreme pressure, ladies and gentlemen.

And there's less and less places to hide in this market. Again, wish I had better news, but I don't. I don't. In other news, The Dodgers finally lost. Two World Series in a row. Well done Milwaukee Brewers. We heard there in the World Series for the first time in 40-some-odd years.

And they've never won a World Series. And now they await, I believe it's Cleveland against Tampa, which is just about, I don't know, their stadium is probably about two hours from where I live. driving down I-4 all the way, almost all the way. Hey, up next, this, that, the other thing. I'm Gary, this is the one only Investor's Edge.

You're listening to What are we waiting for? What are you waiting for? One, two, ready, go. Investers Edge with Gary Culper. Welcome once again to Investors Edge. Hey, thanks for being with us today. Hope you're having a good day.

I don't usually bring the, I brought them up every now and then. A 16-year-old walked into an elementary school with a, I don't know, whatever, shotgun and murdered an 8, a 5-8-and-11-year-old, a good Samaritan, a parent-old. a parent of kids that were at the school, heard gunshots, was in his car, got out, had a gun that he's allowed to keep, you know, hidden, and took out the 16-year-old, but the 5, 8, and 11. And I have to tell you, I always think, man, what if those were my kids? What those parents are going through right now? I can't imagine. I've been in Bend, Oregon. I've actually been there.

It's a pretty, pretty town. I'm trying to remember why I was there. I think I flew it to Eugene to play golf abandoned dunes, but then we went to Bend, Oregon for something, and I don't remember what it was for. Anyway, the bigger story is, three young kids' life has been cut down by this prick. And I don't care what age. 16 years old, you know what the hell you're doing.

I don't even know what to say. I don't even know what to say. I said at the outset of the show, I don't know if I can be any more bearish. What that simply means is that we read the tape. Tonight, I will be going through 1500 stocks, 200 sectors. And when I see oil prices, look into break out to new highs. Yields came down a little bit this week, but still up there. And the part of the market that has the most influence getting kicked in the grapefruits, it gives pause. It gives pause. This week, the best stocks were the worst stocks that gives pause. And today the Dow had a chance was up 400 and finished down 175. It was down 300 at one time. 175 will take it. But the S&P that is tech laden, down 84. And as I run through my semiconductor

screen, the south end of a northbound jackass that just ate a lot of beans. And that goes for the artificial intelligence stocks also. While I continue to see analysts on TV telling you, everything's fine. While core weave that's totally attached to NVIDIA, the head honcho top dog big cheese crashes and their bonds crash. And that's a crash. we'll keep guiding

but we don't tell you what to do we tell you what we think and what we're seeing you get to decide and then we add another matzabal today as they really came after the software names that have held up so well and actually put points on the scoreboard and are also a big part

of technology and that didn't help either today. Next week, you ready? 3M in the Dow, G-Oh, I forgot something. What did the president say, inflation's down? Steel is at a four-year high today. Just letting you know, steel prices. Just letting you know.

But nothing was made with steel. Let's see. Next week, GE General Motors 3M, Capital One, Netflix, thermal lamb research, meta, SAP, Tesla, Texas instruments, United Rentals, Honeywell in the Dow, Blackstone, Procter & Gamble in the Dow, Spotify, Tractor Supply, Union Pacific, Decker's Outdoor, Western Digital, Whirlpool, Exxon, Chevron, did I say that, American Express in the Dow. And the week after, a few companies called Apple, Amazon, Google, and a few others. So we're ready.

We only have four pages of earnings next week. The week after, it would be like 10 to 12 pages. Yippie. Happy days. We'll be ready for anything. But I'm letting you know right now, we hope you don't know any of these AIs. we've been harping on them. We can only tell you what we think.

They are in big, bare markets, and it's getting worse. And we're not talking about 20s. As we said, we highlighted some 50s today. We highlighted some 60s today. And just remember, just because something's down 50, don't mean it ain't gone 60. Just because it's down 60, don't mean they ain't gone 70.

That OKLO knows. What is that in 80? You have a great weekend? Drive carefully. When you get home, do like we do, make sure you hug your family, hug your children. Hug your pets. And until Monday, peace out all.

Have a great night. Bye, bye. This has been Investors Edge with Gary Cult Bomb on BizTalk. To listen to past episodes or to get in contact with Gary, go to GaryK.com. That's GaryK.com. You know, Thank you.