baona/iStock via Getty Images Over the past several years, equity market performance has been defined by concentration. A narrow cohort of mega-cap, technology-oriented companies has driven a disproportionate share of index returns, powered by superior earnings growth. These businesses - built on software, cloud computing, digital advertising, e-commerce, and data infrastructure - scaled with extr...
baona/iStock via Getty Images Over the past several years, equity market performance has been defined by concentration. A narrow cohort of mega-cap, technology-oriented companies has driven a disproportionate share of index returns, powered by superior earnings growth. These businesses - built on software, cloud computing, digital advertising, e-commerce, and data infrastructure - scaled with extraordinary efficiency. And their asset-light models, global reach, and high incremental margins allowed them to compound capital at exceptionally high rates. As digital transformation accelerated, economic gains accrued to a relatively small group of companies that controlled core layers of the digital ecosystem. Equity index construction then amplified this effect: as these firms grew, their weight in capitalization-weighted benchmarks increased, reinforcing their influence on overall market performance. Markets, however, are dynamic. Leadership regimes can persist for long periods, but they do not last indefinitely. Signs have been emerging that growth rates across the market are beginning to converge. So, while mega-cap leaders remain compelling, we believe the relative gap in earnings acceleration between them and the broader market appears to be narrowing. Sources: FactSet, Morgan Stanley Research, and William Blair, as of October 31, 2025. The Magnificent 7 (Mag 7) consists of Alphabet, Amazon, Apple, Meta Platforms, Microsoft, Nvidia, and Tesla. E refers to estimated. Estimates represent consensus expectations. Due to a variety of factors, actual events may differ significantly from the estimates or outlooks presented. From Digital Dominance to Physical Expansion We believe a key driver of this shift is the evolving nature of growth itself. The previous cycle was dominated by IP-driven expansion, but we believe the next phase of growth may be more physically grounded and capital-intensive, shaped by power generation, transmission networks, manufacturing facilities, ro...
It can shoot down short and medium-range ballistic missiles, using hit-to-kill technology. That is, kinetic energy destroys the incoming warhead. It can do this at a high altitude, beyond even the Earth's atmosphere, which was seen as especially useful in South Korea, because it could be used to intercept and destroy a nuclear warhead.
It can shoot down short and medium-range ballistic missiles, using hit-to-kill technology. That is, kinetic energy destroys the incoming warhead. It can do this at a high altitude, beyond even the Earth's atmosphere, which was seen as especially useful in South Korea, because it could be used to intercept and destroy a nuclear warhead.
This year’s ‘two sessions’, China’s biggest annual political gathering, featured the announcement of the lowest GDP growth target in decades and official approval for the 15th five-year plan. SCMP Plus hosted a webinar to discuss these developments with three experts from the Asia Society Policy Institute’s Center for China Analysis. Other topics included the upcoming US-China presidential summit,...
This year’s ‘two sessions’, China’s biggest annual political gathering, featured the announcement of the lowest GDP growth target in decades and official approval for the 15th five-year plan. SCMP Plus hosted a webinar to discuss these developments with three experts from the Asia Society Policy Institute’s Center for China Analysis. Other topics included the upcoming US-China presidential summit, President Xi Jinping’s purge of the military and efforts to reshape the economy. The panel...
Greater Bay Airlines will more than double its fuel surcharge on certain routes starting next week, becoming the last Hong Kong passenger carrier to raise prices amid the ongoing conflict in the Middle East. The airline announced on Friday that it would raise prices due to “surging fuel costs,” with the new surcharges taking effect from March 18. The charge on the carrier’s flights to Hong Kong fr...
Greater Bay Airlines will more than double its fuel surcharge on certain routes starting next week, becoming the last Hong Kong passenger carrier to raise prices amid the ongoing conflict in the Middle East. The airline announced on Friday that it would raise prices due to “surging fuel costs,” with the new surcharges taking effect from March 18. The charge on the carrier’s flights to Hong Kong from all destinations except mainland China, Taiwan, Japan, the Maldives and the Philippines will rise 106 per cent, from US$18 to US$37, or HK$141 to HK$290. Advertisement Meanwhile, the charges on flights departing Hong Kong for all destinations except mainland China and the Maldives will increase by 104 per cent, from HK$142 to HK$290. For flights from Hong Kong to the Maldives, the fuel surcharge will rise 90 per cent, from HK$284 to HK$541. Flights in the opposite direction, meanwhile, will increase 92 per cent, from US$36 to US$69. Advertisement The charges for flights from Taiwan to Hong Kong will rise 22 per cent, from US$18 to US$22.
SeanPavonePhoto/iStock Editorial via Getty Images The Trump administration criticized CNN for broadcasting part of a message from Iran’s newly appointed supreme leader, Mojtaba Khamenei , amid escalating tensions between the U.S. and Iran. The White House accused CNN , "fake news CNN just aired four straight minutes of uninterrupted Iranian state TV, run by the same psychotic and murderous regime ...
SeanPavonePhoto/iStock Editorial via Getty Images The Trump administration criticized CNN for broadcasting part of a message from Iran’s newly appointed supreme leader, Mojtaba Khamenei , amid escalating tensions between the U.S. and Iran. The White House accused CNN , "fake news CNN just aired four straight minutes of uninterrupted Iranian state TV, run by the same psychotic and murderous regime that prided itself on brutally slaughtering Americans for 47 years." This followed CNN showing a Farsi reading with an English translation of Khamenei's remarks, his first since succeeding his father, who was killed in an Israeli airstrike. Other outlets like Sky News, Al Jazeera, AP, and The New York Times also covered it, highlighting vows of regional attacks and oil supply threats. Two days back, White House communications director Steven Cheung also criticized the network anchor Erin Burnett's interview with former Iranian nuclear negotiator Seyed Hossein Mousavian. "Ever notice how CNN just regurgitates quotes and unverified information from Iranian terrorists? Total disgrace. They have become the murderous Iranian Regime’s version of Pravda." Cheung wrote on his social media and compared the network to the Soviet-era propaganda outlet Pravda. CNN did not address Cheung's statement but did respond to the White House attack. The network defended airing the content for its "obvious news value" amid global war watching. “The world is watching with anticipation which direction this war will take,” CNN said . More on Warner Bros. Discovery Warner Bros. Discovery And Paramount Skydance: A Lower-Risk Arb Play And A Leveraged Bet Warner Bros. Discovery, Inc. (WBD) Paramount Skydance Corporation, - M&A Call - Slideshow Paramount Skydance Stole The Show With Its Warner Bros. Discovery Purchase Warren blasts Trump administration on handling of Paramount-Warner deal review Tencent is said to be back on Paramount-Warner Bros. deal with fresh funding
Analyst Updates Rosenblatt Securities recently raised the 12-month price target for Apple’s stock from $267.00 to $268.00 while maintaining a Neutral rating. This small increase reflects Rosenblatt’s view that Apple’s shares have modest upside potential from current levels, suggesting limited near-term gains but stable performance. The firm assesses factors such as ongoing product demand, revenue ...
Analyst Updates Rosenblatt Securities recently raised the 12-month price target for Apple’s stock from $267.00 to $268.00 while maintaining a Neutral rating. This small increase reflects Rosenblatt’s view that Apple’s shares have modest upside potential from current levels, suggesting limited near-term gains but stable performance. The firm assesses factors such as ongoing product demand, revenue growth from services, and resilience in iPhone sales, while also accounting for potential headwinds like macroeconomic pressures, foreign exchange fluctuations, and supply chain challenges, as part of their analysis. KeyCorp also reiterated its Sector Weight rating on Apple, indicating that the stock is expected to perform broadly in line with the overall technology sector rather than significantly outperform or underperform its peers. This rating reflects a balanced outlook, recognizing Apple’s strong brand, cash flow generation, and ecosystem lock-in, while noting competitive pressures, potential regulatory risks, and valuation considerations. Together, these analyst views suggest cautious optimism: Apple remains a core tech holding with stable fundamentals, but investors should not expect outsized returns relative to the sector over the next year.
Betting on clean-energy stocks a month after President Donald Trump rolled back into the White House last year, championing his “drill, baby, drill” agenda, seemed like a fool’s errand. For Helen Jewell , international chief investment officer for fundamental equities at BlackRock Inc. , it was a prescient call that solidified her reputation as an astute contrarian. It was a hard sell for the CIO ...
Betting on clean-energy stocks a month after President Donald Trump rolled back into the White House last year, championing his “drill, baby, drill” agenda, seemed like a fool’s errand. For Helen Jewell , international chief investment officer for fundamental equities at BlackRock Inc. , it was a prescient call that solidified her reputation as an astute contrarian. It was a hard sell for the CIO to her clients, who doubted the virtues of solar energy producers and wind power generators — and with good reason. Permitted projects were being iced, renewable subsidies slashed and federal funding redirected to fossil fuel energy projects. And that was just in the US. While other countries continued some investments, green energy had become tainted. A global renewable energy index sat 65% below its 2021 peak. “The key thing we were hearing from clients was, ‘We’re too nervous about regulation. We’ve basically had our fingers burned on this already. Why is it different this time?,’” Jewell said in an interview. Fast forward a year: The S&P Global Clean Energy Transition Index has surged 61% through Wednesday’s close, beating by far a 23% advance in the S&P 500 Index . It’s also better than a 39% rally in the Magnificent Seven , and nearly double the gain in oil stocks even as the commodity itself rises above $100 a barrel amid the Iran war. There’s reason to expect the clean energy rally will continue, Jewell said, as the US-led war in the Middle East provides a stark reminder about just how dependent the world is on oil and gas from the region. The Iran strikes “underscore the strategic importance of energy independence, grid resilience and domestically secure power generation,” Jewell said. “Clean energy names can continue to gain given the need for fast, secure additions to national power networks.” Jewell’s original insight, in retrospect, was somewhat plain to see — artificial intelligence’s unquenchable thirst for computing power would benefit all forms of energy pr...
Economists see the European Central Bank keeping interest rates unchanged through 2027 even as inflation threats resurface. A Bloomberg survey conducted March 6-11 showed only 7% of respondents expect a move by December and less than a third see any tightening by the end of next year. That puts them at odds with markets , which are pricing a quarter-point increase in the deposit rate to 2.25% by J...
Economists see the European Central Bank keeping interest rates unchanged through 2027 even as inflation threats resurface. A Bloomberg survey conducted March 6-11 showed only 7% of respondents expect a move by December and less than a third see any tightening by the end of next year. That puts them at odds with markets , which are pricing a quarter-point increase in the deposit rate to 2.25% by July and a two-in-three chance of another to 2.5% by year-end. The duration of the Iran war is at the heart of the divide, with those polled predicting the Iran war will be short-lived. Since the poll concluded, Iran’s new supreme leader Ayatollah Mojtaba Khamenei said the Strait of Hormuz should remain closed and Tehran will look to open other fronts in the war if the US and Israel persist with their attacks. President Donald Trump , meanwhile, said stopping Iran from having nuclear weapons and being a threat is “of far greater interest and importance to me” than oil prices. Policymakers led by President Christine Lagarde are on high alert at the prospect of another inflation shock following the unprecedented spike in prices after Russian invaded Ukraine in 2022. Officials say they’re ready to step in. But for now they’re pleading for patience as they assess contradictory signals on how long the conflict will drag on. “It’s clearly much too soon to draw strong conclusions on the impact,” said Bill Diviney , ABN Amro’s senior euro-zone economist. “The Governing Council will express vigilance over the inflation impact and a willingness to act if necessary.” Four in five respondents say the ECB’s next move will likely be a hike — up from 59% in the last poll. Nearly 60% see stronger upside inflation risks than before, while 70% now say an overshoot of the 2% goal is a bigger threat than an undershoot. Despite those shifts, no economist predicts a change in the deposit rate next week. About two thirds say it’s too early to tell if the war will fundamentally alter the economic o...