Introduces Scott Chronert and asks if recent market action changes Citigroup's rosy view for the year ahead.
Sara
Scott Chronert
Frames the market as in a 'boom phase' with a glass-half-full view on AI, not a bubble. Maintains constructive fundamental setup for next year with high-end earnings expectation of $320.
Asks what will drive earnings higher given already high expectations, resilient economy, and easier Fed conditions.
Sara
Scott Chronert
Earnings will be driven by 1) continued beat-and-raise from the Mag-7/Elite Eight AI cohort (~40% of market cap), and 2) broadening into other sectors that have contributed negatively this year (energy, materials, REITs, utilities).