Santa really hasn’t happened this year. Generally, it’s supposed to be last 3 days of 2025 going into first two days of 2026 (so technically, we still have tomorrow)
Sell side research is pointing to the Fed, geopolitics, AI’s circular financing (Oracle); high P/E Multiples; what are your thoughts as to why?
Here’s some of what I’ve seen from reading some sell-side reports:
Federal Reserve: The Fed minutes that were released this week show mixed guidance on number and votes from FOMC members on future rate hikes.
Geopolitics: Venezuela, China, etc. Trade War and tariffs
Supreme Court: It’s expected that Supreme Court will strike down the administrations tariffs
Yields: Treas yields are still high because there’s an expectation the next Fed chair will be light on combatting inflation
Economic data: Govt shutdown led to low trust in data
What are your thoughts?