| Ripple Effect — February 13, 2026
Despite a stock market within 3% of its all-time highs, your portfolio likely feels a bigger pinch right now.
Fears of high spending on AI are leading to another pullback in the market’s biggest names. The Mag 7 stocks are collectively 10% off their peak, and now in correction territory:  AI spending fears push the Mag 7 stocks down into to “correction” territory. (Source: Barchart) “It’s tough to see the market making new all-time highs while tech stocks are coming down,” noted Andrew Packer to members of the Grey Swan Trading Fraternity this week. “As we’ve warned, the top seven stocks make up too much of the market.”
In the Grey Swan Trading Fraternity Mr. Packer added a put option trade to hedge against the falling yesterday.
The market is throwing off more warning signs than usual right now. The all-clear sign? When bad news hits a market that’s been down and stocks trend higher anyway.
~ Addison | In the next few weeks, we could see the end of Bitcoin… and the exponential rise of what Ian King calls the Next Gen Coin. Why? Because a Trump Executive Order could flip on America’s new financial system — unleashing the floodgates to this coin completely revolutionizing finance. Almost no one outside of Wall Street and Washington knows it’s coming. But when it hits… fortunes could be minted overnight.
See the details before the switch flips. | P.S. For the record, the names in the Grey Swan Model Portfolio continue to pay strong dividends outside roiling tech and we still like bitcoin and Dollar 2.0 digital asset plays. See the library of special reports in the members section on the website for more alternatives to tech stocks.
Yesterday, U.S. Global Investors founder Frank Holmes reviewed some of the trends today. Despite the short-term challenge to the stock market, economic fundamentals are in good shape right now.
Frank explained in detail how alternative data, like global airline demand, helps his team rebalance their portfolio of ETFs when market trends shift.
Washington is betting that crypto assets and stablecoins can create a bigger, more efficient market for U.S. debt, extending the dollar’s reserve-currency status.
Frank noted that the recent crash in crypto could easily reverse as regulatory conditions improve and market sentiment can return on a dime. And that many of the companies in our Dollar 2.0 wheelhouse are poised to benefit from that shift. We’ll have the replay up for members shortly.  If you have requests for new guests you’d like to see join us for Grey Swan Live!, or have any questions for our guests, send them here.
How did we get here? Find out in these riveting reads: Demise of the Dollar, Financial Reckoning Day, and Empire of Debt — all three books are now available in their third post-pandemic editions. You might enjoy one or all three. 
(Or… simply pre-order Empire of Debt: We Came, We Saw, We Borrowed, now available at Amazon and Barnes & Noble or if you prefer one of these sites: Bookshop.org, Books-A-Million or Target.)
Please send your comments, reactions, opprobrium, vitriol and praise to: feedback@greyswanfraternity.com |
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