Market digesting consumer sentiment data; asks about importance of AI theme going into 2026 given recent AI indicators like Micron earnings and OpenAI's high valuation target.
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speaker2
Theme for next year is 'AI lift and economic drift' - economy may soften but AI trade remains strong based on earnings, valuations, adoption, and leverage fundamentals.
Notes non-AI companies like Nike, FedEx, KB Home showing weakness and asks if this supports the 'economic drift' thesis.
speaker1
speaker2
AI story broadening beyond tech to utilities, industrials; financials remain strong with impressive profits and could benefit from deregulation, steepening yield curve, good macro environment.