Milk Road Macro 2026 Macro Outlook: The Market Is Sending a Warning After a 3-Year Rally w/ Mark Newton
8 snips
Jan 1, 2026 
Mark Newton, Managing Director and Head of Technical Strategy at Fundstrat Global Advisors, shares insights from his 30 years of experience in market analysis. He predicts that 2026 will be a choppy year of consolidation rather than a full bear market, with key months to buy the dip. Mark discusses S&P targets, the influence of midterm elections, and opportunities in sectors boosted by applied AI. He also highlights potential crypto lows, the outlook for precious metals, and emerging market opportunities as the dollar weakens.
AI Snips
Chapters
Transcript
Episode notes
Equal-Weight Signals Broader Market Breadth
- Equal-weight S&P breaking out shows recent breadth improvement versus cap-weighted S&P distortion.
- But prior months of deterioration left fewer stocks participating, so leadership remains fragile.
AI Hype Versus Classic Bubble
- The AI trade feels overhyped but not an outright valuation bubble like the late 1990s.
- Newton expects transition from AI creators to beneficiaries as the next phase of gains.
Rotate Into Industrials And Selective Energy
- Favor industrials, financials, utilities, and beaten-up energy for 2026 mean-reversion opportunities.
- Consider regional banks, transportation, and energy pipelines as potential winners.