

Get Ready For "Stagflation Lite" | Cameron Dawson
26 snips Oct 7, 2025
Cameron Dawson, Chief Investment Officer at NewEdge Wealth, shares insights on the current 'stagflation lite' climate—where inflation persists despite weak growth and rising unemployment. He discusses how AI capital investment creates uneven economic growth, warns about valuation bubbles, and outlines key market signals to watch. Cameron suggests a diversified portfolio strategy with an optimistic, pessimistic, and nihilistic approach, and highlights specific sectors like energy and infrastructure that could thrive in this unique economic environment.
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What 'Stagflation Light' Means
- Stagflation light means sticky inflation plus softer labor markets but not a 1970s-style collapse.
- Growth can remain resilient due to concentrated AI CapEx even as unemployment edges up.
AI Is Concentrating Growth
- AI CapEx is driving growth in a very narrow slice of the economy and distorting labor signals.
- This creates resilient GDP contributions while the broader jobs market weakens at the margins.
Concentration In Earnings And Consumption
- Earnings and market gains are highly concentrated in the MAG7, while equal-weight earnings lag.
- The top 10% now generate roughly half of U.S. consumption, amplifying market-economy circularity.