Morning Call Sheet: AI, rising yields and oil test the September rally

Summary

The panel breaks down September risks from rising global bond yields, oil, and geopolitics. Stephanie Link argues the AI spending cycle remains early and favors cybersecurity and Broadcom on pullbacks. Sylvia Jablonski sees bond-driven equity pullbacks as an opportunity to buy growth and AI, while Paul Hickey says September seasonality may be less dangerous with the market up year-to-date but semis and memory are stalled below their 50-day averages.

• Global bond yields are rising on economic growth and heavy government/corporate borrowing.
• Higher oil prices and geopolitical uncertainty are viewed as short-term market headwinds.
• Stephanie Link says the AI spending cycle is still early and supports above-trend growth.
• She favors cybersecurity after strong demand and would buy Broadcom on September weakness.
• Sylvia Jablonski views equity pullbacks as opportunities in growth and AI.
• Paul Hickey notes September weakness is less typical when the market is up year-to-date.
• He says semiconductor and memory momentum has stalled at 50-day moving averages.