Bloomberg Businessweek Wall Street Hit by Tech Rout as AI Winners Tumble
Dec 17, 2025
Allie McCartney, a Managing Director of Wealth Management at UBS, shares insights on market volatility and the impact of AI on infrastructure financing. Natalia Kniazhevich, a Bloomberg News equities reporter, highlights the strong debut of Medline's IPO and investor preferences for profitable businesses. Mike Bellin, U.S. IPO leader at PwC, discusses future trends in the IPO market, emphasizing potential growth in sectors like AI, fintech, and crypto, while stressing the importance of valuation discipline in turbulent times.
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Fed Chair Choice Matters More To Markets Than Policy
- Markets may price the next Fed chair as a major policy pivot even if actual policy changes are limited.
- Matthew Luzzetti warns credibility and committee dynamics constrain how fast a new chair can move on rates.
Credibility And Labor Market Determine Rate Timing
- New Fed chairs face a credibility challenge if they inherit a committee still focused on bringing inflation to target.
- Luzzetti says labor-market weakness would likely force earlier cuts, but stability could delay cuts into later months.
Position For Two Potential Rate Cuts
- Prepare portfolios for two potential rate cuts next year and heightened sensitivity to who's Fed chair and incoming inflation data.
- Allie McCartney expects fiscal stimulus and sector rotation to influence earnings and market direction.