Weekly Market Commentary 1-5-2026

“Equities Performance and Sector Calls”
See what we have to say about the following:

 

 

 

• Equities Performance and Sector Calls: LPL’s equity strategy to remain fully invested and overweight communication services led to strong returns, especially in mega cap growth stocks.

 

• Fixed Income Forecasts and Treasury Trends: Fixed income forecasts were accurate, with mortgage-backed securities outperforming corporates and Treasuries maintaining their safe-haven status, though emerging market debt was a missed opportunity.

 

• Economic Predictions and Inflation: Economic predictions were mostly on target regarding tariffs and Fed rate cuts, but growth slowed earlier than expected, supported by resilient business spending.

 

• STAAC Commentary and Asset Allocation Insights: STAAC maintains a neutral stance on equities and duration, continues to favor growth and communication services, and is monitoring select sectors for new opportunities in 2026.