Capital Market Outlook

IN THIS ISSUE

• Macro Strategy — Rate Cut Expectations Broaden Equity Market Rally: Slowing inflation, anchored inflation expectations, and normalizing labor market conditions has the markets pricing in rapid-fire Federal Reserve interest rate cuts.
  
  
• Market View — Influencing the “Buffalo Market": We have characterized the market environment to a buffalo―less attractive than a bull, given its heavier and disheveled nature, it “roams" more erratically instead of “charging" in one direction, lacking dominant catalysts like those present in a bull market.
  
  
• Thought of the Week — Don't Overlook the Earnings: We will likely see more market churn over the next few months, but we believe a strong earnings backdrop should ultimately provide stocks with solid support, helping to reinforce our Equity overweight.