Ed Yardeni: The market looks 'very solid' from an earnings standpoint
Speakers
Ed Yardeni
— President, Yardeni Research
Summary
Ed Yardeni discusses the global tech selloff and AI fatigue, while reiterating his bullish stance on US equities based on fabulous earnings momentum (FIMO). He addresses concerns about hyperscaler spending, arguing that well-managed cloud giants will see their data center investments pay off as data becomes a fourth factor of production.
- Nasdaq faces steep weekly losses amid global tech selloff
- Yardeni uses the acronym FIMO for fabulous earnings momentum
- He calls the overall market very solid from an earnings standpoint
- He acknowledges a June swoon driven by AI fatigue and Chinese competition concerns
- He defends hyperscalers as well-managed, saying data centers will pay off
- Data is described as a fourth factor of production with unlimited demand
Ideas
Earnings momentum supports solid market outlook.
Earnings momentum remains fabulous (FIMO), and from an earnings standpoint the market looks very solid. Despite some June swoon in areas due to AI fatigue, demand for AI hardware is very strong and companies continue to build data centers, supporting a positive earnings outlook and a solid market.
Hyperscalers' data centers will pay off.
Hyperscalers are very well managed and savvy about their businesses. They know what they are doing, and their data centers will pay off because there will never be a shortage of data, which has become a fourth factor of production. The more data we can process faster and cheaper, the more data we will process, justifying current spending.
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This CNBC video, published June 26, 2026, features Ed Yardeni discussing SPY, SKYY. 2 trade ideas extracted by AI with direction and confidence scoring.
Speakers: Ed Yardeni · Tickers: SPY, SKYY