#USStocksForecast2026

While many investors are still hyper-focused on the Magnificent Seven, the real opportunities over the next two years may emerge in areas that have been ignored or undervalued. If AI continues accelerating, I think tech will remain strong, but not every company will benefit equally; capital tends to become more selective during maturing cycles.

I also believe there’s a strong chance of capital rotation. Sectors like Energy, Industrials, Materials, and Healthcare have lagged behind long enough that even a modest shift in sentiment or a fall in interest rates could spark significant revaluation.

When it comes to the Fed, I’d expect rates to gradually trend down by late 2025 into 2026, but not return to the near-zero era. A moderate rate environment could support higher equity valuations, though not the kind of explosive growth we saw post-2020.

Personally, I think semiconductor infrastructure, renewable energy, and specialized industrial tech could be some of the strongest plays heading into 2026. These sectors sit at the intersection of long-term demand and current underpricing.