Latest from BCA Research

Fresh off a month of boning up on all things AI, we walk through a high-level Q&A discussing AI capex and how much the AI investing boom is really contributing to US growth.

MacroQuant is tactically overweight equities, favors an above-benchmark duration stance in fixed-income portfolios, remains bearish on the US dollar, and is bullish on gold and copper.

Markets are increasingly pricing an end to the global easing cycle, with many central banks expected to remain on hold. But uncertainty remains high, and policy surprises are likely going into 2026. This Strategy Report breaks down the current drivers behind G10 central bank policies, and how to position for the next moves across FX and fixed income.

The Trump-Xi summit continued the trade truce and tentatively created a framework to contain tensions over 2026. That is not a trade deal but it is good enough for global financial markets, especially Chinese assets.

This week, our screeners explore opportunities arising from Europe’s electrification, identify high-quality Rare Earth plays, and propose a portfolio to hedge against a major global conflict.

Bank Credit Analyst

In Section II, Doug and Global Investment Strategy’s Miroslav Aradski consider the implications of the AI investment boom.

Bank Credit Analyst

In Section I, Doug explains how the sharp upward revision to second-quarter consumption in the final GDP estimate has reduced our recession conviction and could lead us to abandon our recession call altogether. The situation is fluid, though, as typified by the striking weakness of stocks in consumer-facing and cyclically exposed subindustries. In Section II, Doug and Global Investment Strategy’s Miroslav Aradski consider the implications of the AI investment boom.

Special Report

Asset allocators must pay attention not only to the magnitude of an asset’s expected returns but also to its shape, a concept technically known as skew. Adding skew into our analysis moves our equity allocation up to neutral while bonds remain at underweight. Plus: a new tactical trade is to buy sugar.

Special Report

China's anti-involution policies will not end deflation or boost corporate profits on a sustainable basis. Authorities will be reluctant to cut industrial capacity as doing so would lead to layoffs. Consequently, production will continue to exceed demand, and price deflation will persist.

The Fed cut rates today, but a follow-up rate cut in December is uncertain. It will depend, in large part, on who wins a debate about the neutral rate of interest.