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Developed Countries

Our Portfolio Allocation Summary for December 2025.

MacroQuant remains tactically overweight equities, favors an above-benchmark duration stance in fixed-income portfolios, remains bearish on the US dollar, and is bullish on gold.

Our key US fixed income views for 2026.

The odds have risen that we have reached a “Metaverse Moment” – a situation where investors punish AI companies for increasing capex. This warrants greater caution towards AI stocks specifically, and the broader S&P 500 more generally.

November flash PMIs confirmed sluggish global momentum, reinforcing a defensive stance with tactical support for the USD. The US composite PMI rose to 54.8, driven by stronger services but weaker manufacturing. The Euro area showed a similar pattern, with…
The global pharmaceuticals sector is signaling something more than defensive resilience. Our Chart of the Week comes from Mathieu Savary, Chief Strategist for Developed Markets excl. US, and shows a strong upward trend even as broader global equities have…

The September employment report probably won’t convince enough hawks to vote for a rate cut in December.

We examine past capex booms which turned into busts. Our analysis suggests that AI is following the same script as those ill-fated booms.
 

This Special Report outlines the Fed’s balance sheet strategy and the rationale behind it. We also provide updated projections for the major asset and liability line items on the Fed’s balance sheet.

Our Portfolio Allocation Summary for November 2025.