Reflecting back on 2025, a day has not gone by without investors debating AI’s impact, promise, or peril. Headlines were dominated by AI related stock news, yet the most enduring growth story was found beneath the surface — the steady and compounding build out of the physical infrastructure needed for AI to flourish. From power grids, high-performance networks, and data centers, the massive demand spike for infrastructure is turning what was once known as an income-focused utility model into a high-demand growth engine. According to McKinsey & Company, data centers globally are projected to need $6.7 trillion in cumulative cap

Much like how U.S. equity markets were driven by top-heavy artificial intelligence (AI) themes, so were many stories and headlines. For evidence of this, look no further than the recently announced 2025 Time’s Person of the Year: Architects of AI. We’ve all been fully versed this year on data centers, capital expenditure (capex), “Mag-7”, semiconductors, and the like. Not to be outdone, tariffs too, emerged as a dominant investment story, from the April Rose Garden announcement to the subsequent pause, and the ongoing impacts. Those themes, without a doubt have been cornerstones of the investment landscape, but they&rs

Key Points:

  • U.S. government funding currently runs out for most agencies on January 30, 2026, so it behooves investors to have a playbook for the next round of shutdowns.

 •  Going behind the scenes of the annual outlook, we explore the various headwinds and tailwinds that will likely shape the economy in 2026.

 •  On balance, the tailwinds should overpower and set the backdrop for above-trend growth next year.

Bad News First

The main headwinds for the economy next year are as follows:

1. Slowing Labor Market
2. Persistent Inflation Pressures
3. Tariffs and

The bull market appears poised to extend its run in 2026, fueled by ongoing enthusiasm around AI and further easing of monetary policy from the Federal Reserve (Fed). However, with valuations running high and midterm election years often bringing more volatility, gains may be more tempered in 2026. LPL Research suggests investors maintain current allocations near long-term targets and stay patient for pullbacks to selectively increase equity exposures. Here we feature LPL Research’s stock market for 2026, taken from our Outlook 2026: The Policy Engine.

LPL Research 2026 Stock Market Outlook 

A strong 2025 does no