00:00 Speaker A

just curious what you’ve seen as you’re kind of getting dug in here on this Tuesday morning.

00:04 Speaker B

Yeah, just taking a look at some of the commentary that we’ve seen. Uh look, UBS is basically saying to uh investors, uh just look past the fears of a government shutdown and focus really on the drivers that we’ve seen, the big themes that we’ve seen this year.

00:26 Speaker B

That is the Fed rate cuts, that is is to is going to propel the markets forward. They’re also talking about AI being the big theme as well and also strong corporate earnings.

00:39 Speaker B

So, they’re basically saying, look past this, stay the course. Uh UBS expecting 6800 for the S&P 500 by mid 2026 and in a bull case scenario, they’re even talking about 7,500 for the S&P 500.

01:00 Speaker B

And they’re even saying, look, we’ve we know that we’ve look we’ve seen that the markets are at record highs. So they’re saying use the pullbacks, use any dips to add exposure.

01:14 Speaker B

One other interesting commentary that I saw this morning also from a quick blurb from Goldman uh Sachs is basically they were talking about a key risk to the economy being the labor market.

01:28 Speaker B

That is really the the risk. But if the economy can continue forward giving given a slowdown in the labor market, then the market will look forward towards next year.

01:40 Speaker B

It will look at the Fed rate cuts that are coming and the tariff uncertainty that we’ve seen this year, that is going to be replaced by tail winds.

01:50 Speaker B

Tail winds of fiscal support, tail winds of the Fed cuts and the big beautiful bill that is going to be you’re going to be seeing the full impact of it next year.

01:54 Speaker A

Uh you know, and as you were talking there, we we showed the three major averages and you you talked about, you know, strategist saying, oh, use any dips uh to buy.

02:02 Speaker A

There really haven’t been any dips in like three months, six months. I mean, you look at uh how shallow those pullbacks have been since since April. Um and I think it’s a conversation as we get towards the end of this year and we reflect on the totality of 2025.

02:13 Speaker A

Uh you had one shot, right? You had a couple weeks in April, that was your big dip. Other than that, it’s been pretty much, you know, I mean, VIX is in the mid teens, right? So it’s sort of that environment again.