Some summary notes from the rperot:
- sees S&P 500 upward momentum continuing for the next 6 to 12 months
- see slowing inflation and rate cuts from the Fed
- tech-driven (AI excitement) should broaden out "as inflation falls further, the Fed starts to cut rates, and the market sticks to its rosy macro outlook"
- "Markets are pricing a soft economic landing where inflation falls to 2% without a recession"
- "stay nimble" and are "ready to pivot," as current market conditions could create a wide range of uncertainties
Wary of later this year and ahead
- "We agree with markets that inflation will fall near 2% this year, helping the upward momentum extend into the year. Yet inflation is unlikely to stay there in the long run,"
- citing "too-hot" U.S. wage growth
- "That means inflation will likely roller-coaster up toward 3% in 2025"
