🔥 NEW: Bitcoin isn't an inflation hedge but has evolved into a "liquidity barometer" that thrives when the dollar weakens, says NYDIG's Greg Cipollaro. https://t.co/DieHYotFxL ...

(Removes extraneous "as" in headline, no other change to text) By Chibuike Oguh and Sara Rossi NEW YORK/LONDON (Reuters) - An index of world equity markets edged higher in choppy trading after hitting a record high on Tuesday ahead of the widely expected start of the Federal Reserve's interest rate cutting cycle, while U.S. Treasury yields and the dollar fell. MSCI's all-country index was a shade higher by 0.04% after rising as far as 978.74, a record high. Wall Street stocks erased earlier session gain ...

Market Trends & Macroeconomic Factors - The dollar has decreased by 10% year-to-date, and a further 10% decline in the second half of the year could signal underlying issues [1] - A weakening dollar generally benefits US multinational corporations' earnings, particularly in sectors like industrials, pharma, tech, and staples, assuming unit demand remains stable [4] - The consensus view is that the dollar will continue to weaken, which raises concerns about potential market contrarianism [3][5] Sector Picks & Investment Opportunities - Financials and healthcare are favored sectors for the second half of the year [5] - Financials offer both defensive (e.g, Progressive, select insurers) and offensive (e.g, alts, Jefferies Financial Group) investment opportunities, along with quality names (e.g, JPMorgan Chase, Morgan Stanley, Goldman Sachs) [6][7][8] - Healthcare presents significant productivity potential through AI implementation, addressing inefficiencies and low margins [9][10] AI & Efficiency - AI implementation in healthcare can offset margin or profit pressures [10] - Investments in AI have a 2-3 year return timeline, with substantial benefits expected around 2026 [11] - Healthcare is an area where AI benefits can be realized more quickly [13] - Companies are starting to mention AI efficiencies in earnings calls, indicating potential for growth without proportional hiring increases [14] US Equities Outlook - It's not advisable to be overly bearish on US equities due to the potential for margin expansion driven by AI investments [11][12] - There is significant potential for improvement in sectors like tech and healthcare through technology and efficiency gains [15][16]