Signals & Noise: U.S. Equity Mid-Year Outlook 2026 — Buy Stocks, Not the Index

In this episode of Signal vs. Noise, Savita Subramanian, Head of U.S. Equity & Quantitative Strategy, reviews a surprising first half of 2026 and explains why she believes investors should look beyond the Magnificent Seven. With earnings growth exceeding expectations, inflation reaccelerating, and Fed rate hikes back on the table, Savita argues that the next winners could be large-cap value and manufacturing beneficiaries, including energy, materials, industrials, financials, and real estate.

She breaks down why AI-driven megacaps may be facing higher hurdles, how a manufacturing and capex boom is reshaping earnings leadership, and why stock selection could matter more than ever in the second half of the year.

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