Third Quarter 2026 Strategy Outlook: Aging Bull

Chief Economist Peter Berezin shared his views on the state of the AI trade, the global economy, and the outlook for financial markets.

• Peter has argued that AI is in a bubble but it is a different type of bubble from what investors are used to. Conventional bubbles feature an unsustainable rise in the P/E ratio. When it comes to AI, Peter thinks the bubble is in earnings rather than in valuations.
• Peter discussed what indicators he is tracking to gauge when this earnings bubble might burst and what impact this could have on the global economy.
• Peter shared his thoughts on where bond yields are heading, the outlook for the US dollar and other major currencies, and the likely direction of oil and other commodity prices.