Full Signal AI stocks won't be the only winners of 2026 | Jay Woods, Freedom Capital Markets
Dec 8, 2025
Jay Woods, chief market strategist at Freedom Capital Markets and a seasoned New York Stock Exchange veteran, shares insights on the AI trade and market dynamics. He highlights the importance of sector rotation and argues that diversification beyond tech is key for 2026, with financials, biotech, and transports as promising areas. Woods compares today’s market with the dot-com bubble, discussing macro risks from the Federal Reserve and inflation. His optimistic but cautious view suggests investors should stay alert to changing economic signals.
AI Snips
Chapters
Transcript
Episode notes
Rotation Keeps The Bull Market Healthy
- Jay Woods sees pockets of bubble-like froth but calls the market a healthy "rotational bubble."
- He favors rotation because money moves between sectors instead of leaving the market.
Breadth Is Improving Beyond Big Tech
- Jay argues rotation from MAG-7 into other sectors signals strength, not fragility.
- He notes equal-weight S&P and sector breadth hitting 52-week highs as bullish evidence.
Floor Trader's Dot‑Com Memories
- Jay recounts trading through the dot-com era after getting his seat in 1998 and watching IPO euphoria.
- He says traders then warned "this can't go on forever" and learned to respect moving averages.