Posted on 11/11/2025 8:52:43 PM PST by SeekAndFind
Wall Street’s AI-driven rally just got another vote of confidence.
UBS (UBS) set its S&P 500 (^GSPC) forecast to 7,500 by the end of 2026 in a note on Monday, citing strong corporate earnings and gains in a resilient technology sector.
According to the bank’s just-published global economics and markets outlook, UBS forecasts S&P 500 earnings growth of 14.4% year over year in 2026. About half of those gains are expected to come from the technology sector — a sign that the "Magnificent Seven" will keep powering overall corporate profits, even as other sectors play catch-up.
The firm described the current setup as a market still defined by AI momentum, but one that’s starting to broaden beyond megacap tech, a key development for sustaining and extending the current bull market.
“We expect capex to eventually widen out of the narrow tech sector and growth to become more broad-based,” the report said.
UBS expects that shift to take hold after a “soft patch over the next four to five months as tariffs continue to work their way through to prices,” followed by period of global growth acceleration as business and consumer confidence improve and interest rates fall.
At the same time, UBS said US growth is “essentially one big bet on AI,” with investment concentrated in technology and data infrastructure.
That view has been echoed across Wall Street, with economists crediting the boom in AI spending for keeping the US economy out of recession even amid higher rates and trade tensions.
UBS estimated that such capital expenditures contributed 78 basis points to GDP growth in the first half of the year, or about 1.4 percentage points when including software, research, and development.
The firm called those figures “eye-watering,” saying the surge in spending mirrors the technology build-out of the late 1990s,
(Excerpt) Read more at finance.yahoo.com ...
UBS?
United Bank of Switzerland?
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Let me be the first to call bullshit.
Either this technological sector grows, innovates and prospers or the US will decline in all sectors including the military. That is why Trump will not discontine th H2 visa program that provides the expertise this sector must have. Seems our math challenged college graduates are quite useless.
The absence of magnets and what it means is completely off Wall Street’s radar.
That’s 10% from the current price and 10% is a typical year. Am I missing something?
Great last 6 weeks for AMD. UP from $163 to $237.52 then after hours UP +14.13 to 251.65
Has hit a high of $264
News headlines
AMD is set for significant growth, projecting a 60% increase in data center revenue over the next 3-5 years, driven by advancements in AI. CEO Lisa Su anticipates the AI data center market could reach $1 trillion by 2030, positioning AMD favorably in this sector.
We have been on an accellerating technological wave for at least 300 years.
I don’t see it stopping now. It seems to be accelerating.
Of course, there have been points were the acceleration was greater or lesser.
I see you haven’t been exposed to the fraud that is so prevalent in the H-1B visa program...
Vanguard tracks my 10 year rate of return at 11.7% annually.
Happily retired over here!
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