Our Global Asset Allocation strategists expect the K-shaped economy to reverse in 2026, favoring cyclical areas and broadening market leadership. They upgrade Financials and Materials from neutral to overweight and downgrade…

 Fiscal policy is unlikely to drive the 2026 macro outlook, reinforcing a market dominated by AI sentiment rather than government spending. A key question for 2026 is how supportive fiscal policy will be for US growth. The combined…

 Stay overweight duration as weakening growth data and cresting goods inflation reinforce the Fed’s easing path. The November ISM Manufacturing PMI missed expectations, falling to 48.2 from 48.7 and marking a ninth straight month of…

 Our clients are relatively optimistic about 2026, expecting the US to avoid a recession. 46% of respondents to this week’s poll on the BCA website expect a Soft Landing next year. However, responses from other platforms were not as…

 Our Global Investment strategists believe the risk of a “Metaverse Moment” in AI is rising and recommend increasing caution toward AI stocks and the broader S&P 500. This inflection occurs when markets begin penalizing companies…

 A politically aligned Fed nominee would likely receive a grace period, but investors should still add inflation hedges to their strategic allocation. New reporting indicates that current WH NEC Director Kevin Hassett is the…

 The Beige Book’s indicates that the risk of rising unemployment is greater than that of higher inflation. The November report showed a relatively unchanged US economy, with overall activity little changed. Consumer spending declined…

 US September retail sales disappointed, reinforcing signs of slowing consumption and warranting a modestly defensive positioning. Headline sales rose 0.2% m/m, down from 0.6% in August, while core sales excluding autos and gas grew…