The whole market is bleeding 🩸

Welcome back to the the Day Trading newsletter 📈 

No safe havens today. What looked like a tech rotation earlier this week has turned into a full risk-off retreat: Dow, S&P, Nasdaq, crypto, even silver.

Labor market cracks are showing, AI anxiety is spreading, and the VIX just hit its highest level since November.

Let’s get into it 👇️ 

💼 January layoffs hit 108,435 (the highest for any January since 2009 during the financial crisis), with hiring intentions also at their worst January levels since then, according to Challenger, Gray & Christmas (CNBC)

💰️ Bitcoin crashed below $70,000 for the first time since November 2024, now sitting roughly 40% off its October all-time high above $126,000 as the crypto selloff deepened alongside the tech rout (Barron’s)

🔻 Alphabet beat Q4 expectations with $113.83B in revenue and $2.82 EPS, but the stock fell 4% after-hours on capex guidance of $175-185B for 2026 — more than double last year's spend on AI infrastructure (CNBC)

📉 AMD plunged 17.31% for its worst session since 2017 despite beating estimates, as investors balked at Q1 revenue guidance of $9.8B that fell short of bullish expectations for the AI chip race (Yahoo Finance)

🔼 Texas Instruments announced a $7.5B acquisition of Silicon Laboratories to expand its wireless connectivity chip business, sending SLAB shares up 52% — the deal includes a 69% premium to Silicon Labs' unaffected share price (Reuters)

What started as a tech-to-value shift has morphed into a full-blown risk-off unwind, with the Dow, S&P, and Nasdaq all bleeding red.

The trigger? A one-two punch of labor market cracks and AI anxiety. Thursday's data dump was ugly.

January Layoffs hit 108,435 (the highest since 2009). Job openings fell to their lowest since September 2020. Initial claims spiked past estimates.

The "no-hire, no-fire" equilibrium that kept markets calm is breaking down.

Meanwhile, the AI disruption narrative that crushed software stocks earlier this week has spread beyond tech. Investors aren't rotating anymore, they're retreating.

Bitcoin crashed below $67K. Silver resumed its freefall. The VIX punched above 22 for the first time since November.

The play now is defense. If Friday's delayed jobs report confirms the weakness, expect Fed rate cut bets to heat up fast. Some analysts already see a cut coming by March or April.

Until then, cash isn't the worst place to be!

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⚠️ Disclaimer: Not financial advice. Do your research before making any trades.