May be time to add fixed income to portfolio, says Unlimited's Bob Elliott

Market Sentiment - The BFA survey indicates a high level of optimism among fund managers, with only 3% predicting a hard landing for the economy in 2026, the lowest in three years [2] - This optimism contrasts sharply with the current economic data, which shows signs of weakness in spending and employment as the fall season progresses [2][5] Economic Data Insights - Recent data suggests that retail sales have been flat for several months, raising concerns about consumer spending during the holiday season, which may be weaker than last year [5] - Spending data from Chase and Bank of America indicates a significant decline in consumer spending dynamics since mid-November, suggesting a lack of enthusiasm for the holiday season [7] Future Economic Outlook - There are expectations of stimulus in the first half of the year, but rising healthcare costs for lower-income households may offset any positive effects on spending [9] - The labor market has shown signs of weakness over the past six months, leading to concerns that the anticipated positive outlook for the first quarter may be overly optimistic [9][10]