It’s a good thing that Nvidia’s Q4 2025 earnings beat expectations yesterday, because an increasing portion of U.S. GDP growth is coming from AI capital expenditures (capex) and the “wealth effect” from tech stock gains on consumer spending, according to new analysis from Pantheon Macroeconomics. AI capex “accounted for nearly a fifth of the 2.2% year-over-year increase in headline GDP in Q4,” Pantheon’s Samuel Tombs and Oliver Allen said in a note to clients this morning.In addition, the value of househol ...

In this article, we will take a look at Goldman Sachs Dividend Stocks: Top 14 Stock Picks.On February 24, CNBC reported that Goldman Sachs sees the stock market as the biggest near-term risk to the US economy. The firm is less concerned about inflation or interest rates at this stage. Instead, it believes a sharp drop in equities could have a more immediate effect on economic growth.Goldman still expects the economy to grow 2.5% in 2026. That outlook is supported by fiscal stimulus, easier monetary policy, ...

Core Insights - President Trump's proposals aim to make housing more affordable by focusing on lowering mortgage rates without significantly impacting home prices [1][9] - The administration's strategy raises questions among economists about whether reducing borrowing costs alone can effectively address housing affordability issues [2][9] Economic Impact - Housing affordability is crucial for families to purchase homes, build wealth, and feel financially secure, influencing broader economic growth through consumer spending [3] - Protecting existing homeowners' wealth may support consumer spending but could maintain high prices as a barrier for new buyers [3] Policy Focus - Trump's housing policies have primarily targeted mortgage rates, including instructing Fannie Mae and Freddie Mac to purchase $200 billion in mortgage bonds to lower borrowing costs [6] - The introduction of longer 50-year mortgages is also proposed to provide more options for homebuyers [6] Supply and Demand Dynamics - An increase in housing supply could lower home prices, but current low inventory levels may counteract affordability gains from lower mortgage rates [7] - Trump's executive order to limit large institutional investor purchases aims to increase housing supply, though it may only affect a small portion of the market [12][14] Wealth Effect - Higher home values contribute to consumer spending, with the "wealth effect" indicating that increased housing wealth can lead to greater consumer expenditure [10] - Consumer spending has remained strong, with a reported increase of 0.3% in both October and November, supported by affluent consumers benefiting from wealth effects [11]

病愈之后受邀前往了 #OKX年夜饭 的活动现场，听了 @star_okx 的演讲，和潜水 @connectfarm1 以及周期手牛牛 @niuniu255431 进行了一场圆桌对话。结合两场谈话我有一点想法吧Star 的演讲昨天已经满屏讨论了，完全放飞自我，整体强调了 BTC 对行业的重要性以及 “人人都要有 BTC” 的观点。之后在 @XLayerOfficial 这条公链上会进一步加大投入，并不会削弱 $OKB 在生态中的战略位置而在跟牛哥交流之后，他提到了身份的问题，其实很有道理。我们大部分散户进圈之后见到的 BTC 就是 起码一万以上（我自己见到的最低价是 FTX 倒塌时，一万六的 BTC），以大多数人的小本金来说，只买 BTC 是没法赚太多钱的。行业需要有基建建设的部分，也需要有财富效应吸引人进入的部分，只有两相结合，才能更好地存续希望之后能在 X layer 上也能看见基建建设和财富效应的更多结合，给生态参与者激励的同时，也能给散户交易者更多机会，期待华人所能进一步做大做强 ...

Summary of US Softlines Retail Industry Outlook Industry Overview - The report focuses on the **US Softlines Retail** industry, indicating a positive outlook for 2026 based on consumer sentiment and spending intentions [2][4]. Core Insights 1. **Consumer Sentiment Improvement**: Recent survey data shows US consumers are feeling more optimistic, leading to a more bullish stance on Softline stocks compared to the previous month [2][3]. 2. **Holiday Season Expectations**: A satisfactory finish to the 2025 Holiday season is anticipated, with few companies expected to miss consensus EPS expectations for Q4 [2][4]. 3. **Spending Intentions**: Consumer spending intentions for softgoods over the next 90 days are projected to increase by **2.9%** year-over-year, with a **535 basis points** acceleration month-over-month [4][14]. 4. **Fiscal Stimulus Impact**: The potential for US fiscal stimulus is expected to drive sales growth in the Softline industry, contributing to stock momentum into January 2026 [2][3]. Financial Metrics 1. **P/E Ratio Analysis**: Softline stocks currently have a P/E ratio **10% above** the past 10-year average, yet a **24% potential upside** is identified, suggesting further P/E expansion as spending growth rates improve [3][4]. 2. **Stock Recommendations**: Analysts favor stocks such as ONON, RL, GIL, LEVI, and others, while advising against NKE and Sell-rated M, KSS, and DDS [3]. Consumer Behavior Insights 1. **Spending Plans**: **27.0%** of consumers plan to spend more this Holiday season, compared to **23.2%** who plan to spend less, marking a **380 basis points** improvement from the past 11-year average [8]. 2. **Post-Christmas Shopping**: **70.1%** of shoppers intend to participate in post-Christmas sales, slightly down from the previous year but above the 10-year average [8][91]. 3. **Shopping Completion Rates**: **44.2%** of consumers had completed their Holiday shopping by the survey date, an increase of **160 basis points** year-over-year [8]. Economic Outlook 1. **Consumer Confidence**: Confidence among consumers has increased across all income demographics, with notable improvements in spending intentions among middle-income consumers [9][28]. 2. **Financial Security**: **42%** of respondents feel they are saving enough for future needs, up **120 basis points** month-over-month, indicating improved financial security [9][79]. 3. **Wealth Perception**: **22%** of consumers feel wealthier than the previous year, the highest percentage since 2019, with the average value of financial assets (excluding homes) at **$472K**, up **8%** year-over-year [9][66]. Additional Insights 1. **Concerns Over Economic Factors**: Consumers are less worried about macro issues like inflation and tariffs, which may contribute to their improved willingness to spend [5][9]. 2. **Demographic Spending Trends**: Upper- and middle-income consumers, who account for approximately **90%** of industry spending, are showing stronger spending intentions compared to lower-income households [9]. 3. **Political Influence on Spending**: The report notes differences in spending intentions based on political affiliation, with Democrats showing lower confidence and willingness to spend compared to Republicans [99][100]. This comprehensive analysis highlights the positive trajectory of the US Softlines Retail industry, driven by improved consumer sentiment, spending intentions, and potential fiscal stimulus effects.

Summary of the 2026 Consumer Outlook Conference Call Industry Overview - The report focuses on the **U.S. consumer spending** outlook for 2026, highlighting the expected growth trends and underlying economic factors. Key Points and Arguments Consumer Spending Growth - Consumer spending grew at a strong **3.5%** pace in Q3 2025 but is projected to moderate to **2.2%** in 2026 on a Q4/Q4 basis, down from **3.4%** in 2024 [2][5][30] - The slowdown is attributed to slower real income growth, with job gains slowing and tariff-related price increases keeping inflation elevated [2][5] - The new tax bill is expected to provide a **+0.2 percentage point (pp)** boost to household consumption growth in 2026, particularly in the first half of the year [10][18][21] Job Growth and Labor Income - Job growth is anticipated to rebound from **32,000** per month to **70,000** in 2026, driven by reduced tariff impacts and fiscal stimulus [11][14] - Real labor income growth is expected to rise to **2.3%** in 2026, up from **1.9%** in 2025, providing a solid foundation for consumption growth [11][22] Inflation and Wage Growth - Inflation is projected to decline more than wage growth, leading to slightly higher real wage growth of just over **1%** [15][16] - The report estimates that tariff effects have boosted inflation by **0.5pp** so far, with an additional **0.3pp** expected over the next six months [15] K-Shaped Recovery - The consumer economy is expected to exhibit a **K-shaped** recovery, with lower-income households facing the most significant challenges due to government spending cuts and reduced immigration impacting job growth [33][35] - Higher-income households are likely to experience stronger spending growth, benefiting from wealth effects driven by rising equity prices [38] Risks to Consumer Spending - Two major risks to the spending outlook include: 1. A potential weak job market that could restrain income and spending growth, particularly affecting lower-income workers [47][48] 2. A significant decline in equity or asset prices, which could turn the wealth effect into a drag on spending, with estimates suggesting a **20%** decline in equity prices could subtract **0.7pp** from consumption growth [51][52] Overall Consumption Forecast - The forecast for consumption growth in 2026 is solid at **2.2%**, exceeding the consensus forecast of **1.9%**, with stronger growth expected in the first half of the year due to fiscal and wealth effects [30][32] Additional Important Insights - The report emphasizes the importance of the new fiscal legislation and its impact on disposable income and consumption growth [18][21] - It highlights the stabilization of delinquency rates in consumer loans, suggesting that rising delinquency rates may not pose a significant risk to spending [41][42] This summary encapsulates the critical insights from the conference call regarding the U.S. consumer spending outlook for 2026, focusing on growth expectations, underlying economic factors, and potential risks.

Core Insights - The article discusses the performance of Chinese markets compared to global peers, highlighting a shift in sentiment among investors regarding China's investability [1][3][4] Market Performance - Chinese markets have shown outperformance against global indices, with improvements noted in comparisons to the U.S. and Japan [1] - There is a narrowing gap in performance between China, Korea, and Taiwan, indicating a potential recovery in investor sentiment [1] Investor Sentiment - Recent months have seen a shift from extreme optimism to a more balanced view among global investors regarding China, with current positioning being neutral to slightly underweight [4] - Despite the market rally, there is a disconnect between economic performance and market expectations, leading to cautious optimism for sustained growth [5][6] Economic Outlook - The Chinese economy is currently struggling, with insufficient data to support a continued market rally, emphasizing the need for economic recovery to drive stock performance [5][6] - The reliance on exports makes the Chinese economy vulnerable, particularly to U.S. economic policies [7] Technological Advancements - Significant technological breakthroughs in China, particularly in AI, have surprised investors and shifted perceptions of China's competitive position [8][9] - The long-term growth potential of China is linked to its innovation capabilities and the ability to maintain GDP growth rates of 3% to 5% [10] Policy and Market Dynamics - There is a need for decisive policy measures to address overcapacity and stabilize the property market, which is crucial for economic recovery [14] - The current liquidity situation is not the primary issue; rather, the lack of demand is a significant concern for the economy [16] Wealth Effect and Consumption - The wealth effect from the stock market is expected to be limited, as many households have their assets tied up in the struggling property market [17] - A better-performing stock market may improve overall market sentiment but is unlikely to lead to significant increases in consumer spending [18][20] Valuation and Earnings - Valuations in the Chinese market are approaching historical highs, with concerns about sustainability if earnings do not improve [21] - The expectation is that earnings growth will be the key driver for market performance in the coming year, rather than just valuation recovery [21][22] Consumption Patterns - The consumption recovery in China is anticipated to be K-shaped, benefiting wealthier households while leaving the broader market depressed [23][24] - The challenges faced by younger generations in both China and the U.S. highlight the difficulties in relying solely on stock market recovery to drive consumption [24]

Economic Outlook - The Federal Reserve is facing deep divisions regarding monetary policy, influenced by differing aversions to inflation and employment issues [2][3] - There is a decoupling of GDP and employment, complicating the economic landscape [3] - The Fed lacks a strategic view on whether the economy is on the verge of a productivity boom, which affects its monetary policy decisions [3] Market Sentiment - The narrative in the marketplace has shifted from expecting rate cuts despite a solid economy to uncertainty about cuts in light of a weakening labor market [4] - Concerns are raised about the effectiveness of the wealth effect on high-end spending, suggesting it may not be as impactful as previously thought [5][6] Policy Recommendations - There is a call for the Fed to cut rates, with the belief that a major productivity boom is on the horizon, which would allow for looser monetary policy [8] - The importance of focusing on sectors that would benefit from rate cuts in the current K-shaped economy is emphasized [8] Inflation Concerns - A significant portion of the Consumer Price Index (CPI) components are above 3%, raising concerns among hawkish Fed officials [11] - Despite a target inflation rate of 2%, there is a belief that the economy is stabilizing around a 2.5% to 3% inflation rate, which could impact productivity and growth outlook [12]

Company Performance - Robinhood's third quarter results showed a remarkable increase, with sales up 100% and EPS up 259%, attributed to the leadership of co-founder and CEO Vlad Tenev [2] - The resurgence of Robinhood is linked to stock indexes reaching record highs, which has also benefited rival Coinbase during the crypto boom [3] Economic Context - Despite the boom in asset markets, not all households and non-financial services companies are experiencing growth; Chipotle's CEO noted a decline in purchases among young consumers [4] - Costco reported that uncertainties regarding SNAP benefits and the government shutdown are negatively impacting shopper behavior [4] Employment Trends - Job cuts in October reached 153,074, marking a 183% increase from September and the highest level for any October since 2003, indicating a troubling trend in employment [5] - The current year is on track to be the worst for layoffs since 2009, with insufficient hiring across companies contributing to this situation [5]

Group 1 - The Federal Reserve is expected to cut rates by 25 basis points, with discussions around the future of its balance sheet being a key focus [4][5][6] - The term "T bill and chill" refers to the Fed's strategy of increasing its holdings of short-term treasuries as it ends its quantitative tightening (QT) process [2][8] - Global spending on artificial intelligence (AI) is projected to reach $375 billion this year and is expected to grow to $500 billion by 2026, which may influence US Treasury rates [3][28] Group 2 - The Fed's balance sheet is crucial for liquidity in the financial system, and its unwinding process from excessive expansion during COVID is nearing completion [5][6][14] - The current economic environment is characterized by a K-shaped recovery, where high-income consumers are increasing spending while low and middle-income consumers are pulling back [15][16] - Rate volatility is more significant than the absolute level of rates, with the stock market showing a stronger correlation with rate volatility than with rate levels [19][20] Group 3 - The relationship between AI spending and the bond market is becoming more relevant, as investors seek to understand whether projected productivity gains will materialize [30][32] - The potential impact of AI on productivity could lead to a disconnect between economic growth and labor market health, raising questions about the Fed's response to unemployment rates [34][36] - The Fed's approach to rate cuts may be influenced by its legacy considerations, with a higher risk of a 50 basis point cut in the near future [46][50]