Market Outlook 2026: Tech Sector Faces Competition Amid AI Advancements
ByAinvest
Thursday, Dec 25, 2025 5:59 am ET1min read
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Ed Yardeni, President of Yardeni Research, predicts a 10% market growth in 2026 but cautions against relying on the "Magnificent Seven" Big Tech companies. He suggests reducing exposure to these companies due to increased competition from AI and high profit margins. Instead, he recommends overweighting financials, industrials, and healthcare sectors. Yardeni still sees potential in semiconductors and communication services, particularly in meta and Netflix.
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