We think the future remains bright for US equities

We continue to expect equities to outperform most other assets through the end of next year, as the hype around AI builds and lower inflation facilitates more monetary easing in some places than investors are discounting. The tech-heavy US stock market will, in our view, remain at, or near, the front of the pack. We envisage most other “risky” and “safe” assets lagging equities during this period, but think their outright performance will still be quite healthy. Commodities are, however, a notable exception.