We don’t think the AI boom in equities has run its course, despite how far it has already come. We therefore expect the US stock market, in particular, to charge ahead over the rest of this year and next, with other tech-heavy markets – such as China’s – not too far behind. By contrast, we doubt government bonds, in general, will get much of a lift from what’s left of major central bank easing cycles. And we expect a near-term recovery in the US dollar, especially against European currencies, even if its still-high valuation might be a headwind over a longer horizon.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services