The Russell 2000 has had a strong year, hitting all-time highs a few weeks ago and pacing for its eighth straight month of gains. Its best run since mid 2021, but what can we expect for the group in 2026. Let's turn to our resident small cap expert Julie Beiel.What do you think the backdrop will be for small caps, Julie. >> I I think it looks pretty positive. You know, small caps are more economically sensitive and they should be benefiting from lower interest rates because they tend to borrow on a variable ...

Market Outlook & Investment Strategy - Innovator Capital Management believes 2026 will be a unique year for investors, with consumers benefiting from tax cuts retroactively from 2025 and less withholding in 2026 [2][3] - The firm anticipates consumer spending will drive the economy and potentially push the S&P 500 to a target of 7,600 [3] - Managing risk remains a central focus for the firm, especially when considering the market outlook [2] - The firm is optimistic but not wildly so, projecting an S&P 500 target that aligns with historical market returns of approximately 8% plus dividend yield to reach about 11% [10] Consumer & Economic Factors - Consumer confidence has been low, but recent data shows signs of improvement, potentially driven by tax cuts [5] - Affordability is a major concern, particularly regarding high home prices, which have increased significantly since 2018 [7] - The impact of previous Federal Reserve interest rate cuts is expected to gradually influence the economy, potentially aiding with home prices [8] - Wage growth is slowing down, which could lead to a decrease in inflation, providing relief to consumers [9] Sector & Valuation Analysis - Discretionary and staples sectors have underperformed, but the firm believes they could experience a resurgence due to increased consumer spending [5][6] - Early bull market rallies are driven by valuation expansion, but the focus is shifting to earnings growth, particularly in 2026 [11][12] - The firm anticipates a slight contraction in valuations this year, emphasizing the importance of focusing on earnings growth [13]

Core Viewpoint - UBS projects that the strength of the U.S. equity market will continue into 2026, with the S&P 500 expected to advance significantly due to earnings growth, looser financial conditions, and reduced policy uncertainty [1] Group 1: Earnings Growth and Market Projections - UBS highlights strong profit growth, especially among large technology firms, which has supported share prices without leading to unsustainable valuations, maintaining a solid market foundation for the upcoming year [2] - The bank anticipates corporate earnings for the S&P 500 to grow by approximately 10% in 2026, projecting the index could reach around 7,700 by year-end if earnings remain the main driver of price increases [2] Group 2: Monetary Policy and Economic Conditions - UBS expects the Federal Reserve to continue easing monetary policy into early 2026 as inflation decreases, which will lower borrowing costs and support risk assets [3] - A change in Fed leadership is anticipated to reinforce a more accommodative policy stance, further enhancing market conditions [3] Group 3: Trade and Regulatory Environment - UBS points to improving visibility on trade and regulatory issues as a supportive factor, with legal clarity around tariff authority expected in early 2026 potentially reducing investor uncertainty [4] - Despite possible near-term pauses, UBS maintains a bullish outlook on U.S. equities, supported by earnings growth, easier monetary policy, and improved policy clarity [4] Group 4: Divergence Among Wall Street Banks - Major Wall Street banks exhibit divided views on the S&P 500's trajectory for 2026, with Bank of America projecting a cautious end around 7,100 due to valuation pressures and risks from weakening consumption [5] - Conversely, other banks foresee further upside driven by earnings growth and AI investment, with JPMorgan targeting 7,500, Goldman Sachs at 7,600, and Morgan Stanley forecasting 7,800 [6]

Carnival Corporation & plc (NYSE:CCL) exceeded Q4 2025 earnings expectations with an adjusted EPS of $0.34 and record revenue of $6.33 billion.The company's stock surged over 8% following the announcement, reflecting investor confidence in its performance and future prospects.Carnival anticipates double-digit earnings growth for fiscal 2026, supported by strong forward bookings and effective pricing strategies.Carnival Corporation & plc (NYSE:CCL), a leading cruise operator based in Miami, is known for its ...

Key Points The cruise industry is alive and well. After years of turbulence, management sees calmer seas ahead. 10 stocks we like better than Carnival Corp. › Shares of Carnival (NYSE: CCL)(NYSE: CUK) climbed on Friday after the cruise line announced record earnings and issued an upbeat forecast for the year ahead. Image source: Carnival. Carnival's profits are soaring Carnival's fourth-quarter revenue rose 7% year over year to $6.3 billion. The company's net yields -- a key indicator of pricing ...

We continue to take a look at a lot of the movers this morning. Diane King Hall joins me and we're taking a look here first at Carnival Cruise. Good morning. Good morning to you, Nicole.So this morning with its results, Carnival's results coming about 15 minutes ago. It was a mixed picture for the quarter. They did have a strong year.Let's go through the trailing quarter. Adjusted EPS coming in at 34 cents a share. Much better than expected.The street was just looking for 25 cents per share. Uh revenue came ...

Tech is back in the leadership position today. Big tech, but small caps lately have been the ones putting up some big gains. The Russell 2000 outperforming the Mag 7 over the past month, and my next next guest thinks that'll continue.Says the trade has legs next year, but expects the leadership to change. Julie Beal is chief market strategist at Kane Anderson RDN. Julie, welcome.And what do you think is about to take place. Well, I think that what's going to really start to happen is people are going to rec ...

Let's talk a bit more about the data this morning in the market with Mona Mahajin. Edward Jones, head of investment strategy, joins us here at Post9. Always good to see you.Welcome. Happy holidays. Um, you think there's time for a rally to show up before you're in.>> You know, look, um, Santa Claus came a little bit to town this morning. We enjoyed seeing that CPI print come in well below expectations. What particularly caught our eye was the core CPI reading.Nice to see 2.6%. You know, keep in mind twothir ...

Let's talk a bit more about the data this morning in the market with Mona Mahajin. Edward Jones, head of investment strategy, joins us here at Post9. Always good to see you.Welcome. Happy holidays. Um, you think there's time for a rally to show up before you're in.>> You know, look, um, Santa Claus came a little bit to town this morning. We enjoyed seeing that CPI print come in well below expectations. What particularly caught our eye was the core CPI reading.Nice to see 2.6%. You know, keep in mind twothir ...

Core Viewpoint - Truist Securities has raised its price target on Dollar Tree to $149 from $136, maintaining a Buy rating, indicating confidence in the retailer's long-term earnings potential despite current controversies surrounding the stock [1] Group 1: Market Sentiment and Traffic Trends - Dollar Tree is described as a highly debated stock, but Truist remains optimistic heading into 2026 [2] - Concerns from bearish investors regarding a third-quarter traffic slowdown are attributed to temporary factors and in-store disruptions, with expectations for traffic recovery as store standards and inventory improve [2] Group 2: Earnings Growth Potential - Dollar Tree is expected to have significant earnings growth potential over the next several years, supported by operational initiatives such as improved space allocation, enhanced store standards, and accelerated share repurchases [3] - Management has targeted earnings per share (EPS) growth of 12% to 15% annually from 2026 through 2028, while Truist's model predicts EPS growth of 17% in 2026 and 11% in 2027 [3] Group 3: Valuation Outlook - If earnings growth meets targeted levels, the stock's valuation multiple could increase from its current level of approximately 17 times forward earnings [4]