My 2026 Market Prediction: The First Shall Be Last And The Last Shall Be First
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Eugenio Catone5.38K FollowersFollow5ShareSavePlay(21min)CommentsSummaryIn 2026, I favor sectors with stable cash flows that have been sidelined for years. I am avoiding AI-related stocks, even US hyperscalers.I expect inflation risks to be underappreciated, making long-term bonds unattractive; short-term bonds and cash offer flexibility.Gold remains a core allocation, likely to outperform equities due to central bank demand and fiat system concerns.My S&P 500 year-end 2026 target is 6,090, about 10% below current levels, reflecting a prudent, risk-off stance. Kemter/E+ via Getty Images Introduction 2025 is almost over, and all the interest is shifting toward 2026, a year full of uncertainties. Basically, investors are divided into two groups: those who think that AI is a bubble ready to burst and those who believeThis article was written byEugenio Catone5.38K FollowersFollowHi there, welcome to my profile. My name is Eugenio Catone, I live in Italy and I am 27 years old.In 2023 I graduated in Business Administration and I completed CFA level 1 in 2024. I am currently a Popular Investor on the investing platform eToro, you can see there my public portfolio. My interest in financial markets started about 5 years ago when I accidentally came across a video about trading. That was the spark that introduced me to a new world, but over time I realized that it was not my path: too many charts, lines, and not very concrete concepts for a pragmatic person like me. I needed something different and that I found in fundamental analysis. It is a totally different approach and one that evaluates the actual results achieved by a company rather than the candlesticks made by its price per share. That was the turning point for me and I have not stopped learning ever since. I mainly invest in stocks and ETFs; I prefer US companies but I often analyze European or Chinese companies as well. Being young, my investments typically have a very long-term view; I often take a contrarian view.Seeking Alpha is a way for me to express my opinion and meet new people. My articles are intended as pure entertainment and I hope you will find them interesting.Analyst’s Disclosure:I/we have a beneficial long position in the shares of V, META, AMZN, GOOG, MCD, FDS, CRM, NVO, RACE, HESAY, CVX either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.