On this day, February 3, 1959, rock and roll musicians Buddy Holly, Ritchie Valens, and "The Big Bopper" J. P. Richardson were all killed in a plane crash. 

It is still known as the day the music died.

But for stock market investors, February 3rd could become known as the day software stocks officially died.

It's pure carnage, and some might say a perfect illustration of creative destruction.

Sam Altman Picks Another Fight

Meanwhile, selling is picking up in the OpenAI ecosystem after reports of being unhappy with Nvidia (NVDA) chips.

  

Nvidia (NVDA) continues to struggle after the comments from OpenAI about the ability of its chips to provide the necessary power for inference.

Early in the session, the S&P 500 turned slightly lower on weakness already mentioned. This was misleading because 66% of names were higher.

Meanwhile, Consumer Staples (XLP) are among the largest advancers. This is not as a defensive reaction but due to solid earnings and guidance.

The real action is in the Materials (XLB) sector, which has been on fire.

I think this reflects the re-industrialization effort kicking in big time this year.

The action dovetails perfectly with that strong ISM Manufacturing report.

State Street Industrial Select Sector SPDR ETF (XLI)

On that note, I was shocked to see this line in my email inbox: “the recovery you don’t feel is real.”

It was from John Authers of Bloomberg, who rarely sees any good in the Trump administration.

The Recovery You Don’t Feel is Real

Our report on Critical Minerals has been added to our website wstreet.com,  at the bottom of the homepage. You can click here to read it. 

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