Global Equities Call

The market enters the Q2 2026 earnings season with strong growth expectations and high single-stock volatility. Investor sentiment is broadening as AI infrastructure remains a primary growth driver despite a recent tech-led selloff.

Key Takeaways

• 1.S&P 500 earnings growth expectations for Q2 are strong at 22% year/year, with AI infrastructure stocks contributing nearly 60% of that growth.
• 2.Market leadership is broadening beyond AI winners as shown by a record low 1-year rolling correlation between the S&P Equal Weight and S&P 500 indices.
• 3.Hedge fund positioning saw significant selling in Information Technology, specifically Semiconductors, while net exposure remains at the 98th percentile.

Table of Contents

• What We're Watching
• Contribution to year/year EPS growth
• Standouts from last week
• GS Rating and Conviction List Changes

Document Preview

Page 1 of 5

Subscribe for full accessStart Free Trial