Markets are soaring. Workers are struggling. Investors can win…
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We hope this change helps you to make the most of all the opportunities Wall Street has to offer. Good investing!
Hello, Reader.
The American economy of 2025 is both dazzling and disturbing.
On the surface, stock markets have never been higher, billionaires have never been more numerous, and technological breakthroughs – especially in AI – have never possessed greater potential to transform entire industries.
Yet beneath the surface, the average worker and household face a very different reality: slowing job growth, shrinking affordability, fading prospects, and declining confidence.
This contradiction between abundance and anxiety is not a new feature of the American economy.
But now, thanks to AI, the financial chasm between folks on the winning side of technological progress has become a massive, permanent landmark.
I first identified this socio-economic divide five years ago and called it the “Technochasm.”
As I correctly predicted back then, it is growing wider by the day and creating a growing roster of social and economic imbalances. The chart below brings the Technochasm into stark relief.
It juxtaposes the S&P 500 Index against consumer sentiment over the last decade. The green line climbs inexorably higher, particularly from 2020 onward, fueled by AI-driven rallies in tech giants. The black line, representing how consumers feel about their own economic conditions, drifts downward, collapsing to lows not seen in decades.
The picture is unmistakable: markets are soaring while households are souring. AI may be helping to create stock market wealth, but it is terrifying many American workers.
The second chart below captures the psychological impact of AI’s encroachment into the workforce. It plots the percentage of Americans saying, “jobs are plentiful,” as well as the percentage saying, “jobs are hard to get.”
The inflection point is noteworthy. At the end of 2022, when ChatGPT and its AI cousins burst onto the global stage, “jobs plentiful” readings began to tumble, while “jobs hard to get” readings began to climb.
Of course, correlation is not causation. But the timing is suggestive.
The launch of generative AI coincided with a broad wave of corporate experimentation in automation. Customer service departments began shrinking, replaced by chatbots. White-collar employers realized that AI tools could handle functions from writing to coding to design.
By 2025, only about 30% of Americans said jobs were plentiful, while nearly 20% said jobs were hard to get. That represents a profound shift in confidence.
In a healthy economy, workers feel they can quit and find new opportunities. In the current one, they are increasingly cautious, and upwardly immobile.
It is important to note that the U.S. economy is still creating wealth, still generating innovation, still minting billionaires at an astonishing pace.
But also one in which the average household finds itself sliding down the rungs of opportunity.
No government agency, no Wall Street bank, no celebrity CEO will secure the future of your household. That task is yours, alone… but it need not be a daunting one.
That is why I’m excited to share that our colleagues over at TradeSmith have channeled hedge-fund quality software into an easy-to-use tool – called The T-Line – that can help improve folks’ financial lives.
Their proprietary algorithms monitor the direction of over 160,000 stocks and ETFs around the world, 24-7.
From tech stocks like Apple Inc. (AAPL) and Microsoft Corp. (MSFT)… to index funds that track the S&P 500… to ETFs.
Whatever stock you wish to know more about, this tool will show you.
I’ll share how you can learn more about The T-Line tool below. But first, let’s take a look back at what we covered here at Smart Money this week…
Smart Money Roundup
The Secret Math Formula That Shook Vegas Is About to Shake Wall Street
September 24
After months of development and testing, TradeSmith CEO Keith Kaplan and his team created a powerful new trading tool called the “T-Line” – named after and built off the unfinished work of hedge fund legend Ed Thorp. In this issue, Keith explains how Thorp’s insights resulted in a software tool that uncovers mispriced trades Wall Street doesn’t want you to see, giving everyday investors a hedge fund-quality edge.
Warren Buffett’s “Cash Secret” Just Got an Upgrade
September 25
Warren Buffett has two rules. Rule No. 1: Never lose money. Rule No. 2: Never forget Rule No. 1. But there’s also an unspoken Rule No. 3 that he’s practiced for decades: Always look to generate income in addition to long-term gains. Buffett does this by using what TradeSmith CEO Keith Kaplan calls the “Buffett cash secret.” TradeSmith has now made this secret accessible through their new T-Line tool – giving you the chance to generate a steady income without taking on hedge-fund-level risks.
2 AI Winners… Including One Physical AI Game-Changer
September 27
AI is an undoubtedly powerful megatrend. As AI steps out of the digital world and into the physical one, “Physical AI” is here to help companies reach milestones once thought impossible. Read on to find out two of my favorite AI stocks positioned for incredible gains – one is particularly poised to profit from the robotics revolution.
Bulls vs. Bears: What Record Highs Really Mean for Stocks
September 28
When stock markets hit fresh record highs, investors broadly separate themselves into two groups: bulls and bears. Some of it stems from individual psychology. Another factor is experience. Regardless, the recent highs have divided Americans almost down the middle. Click here for Tom Yeung’s full analysis on what history tells us about record highs – and what your next steps should be.
Looking Ahead
By leveraging a piece of obscure data that’s highly complex to calculate… The T-Line can show you exactly what to buy and what to sell — in real-time for the greatest potential profits on more than 160,000 stocks, ETFs, and mutual funds.
Trades produced by The T-Line have produced gains as high as 112%… 172%… and 519% in a single afternoon.
At the same time, The T-Line lets you systematically slash the kinds of risks that are keeping too many folks treading water with buy-and-hold investing… while giving you massive potential upside in a lucrative niche of the trading world.
TradeSmith CEO Keith Kaplan is hosting the T-Day Summit tomorrow, Tuesday, September 30, at 1 p.m. Eastern time.
That means this is your last chance to sign up for the event. And it’s one you won’t want to miss.
What impresses me most is how Keith has taken something so mathematically sophisticated and made it accessible to everyone.
If you can buy and sell a stock, you can harness The T-Line’s power.
So be sure to sign up now to witness the unveiling of The T-Line for yourself…
It is time to get ready for a whole new world of trading possibilities.
Regards,
Eric Fry
