S&P 500 Sector Outlook For 2026: Sell Technology, Buy Healthcare
Summarize this article with:
Damir Tokic12.67K FollowersFollow5ShareSavePlay(8min)CommentsSummaryMy baseline outlook for 2026 as a recessionary bear market with the AI bubble burst.Given this scenario, the Technology Sector is likely to lead to the downside, as the AI bubble bursts.The Health Care Sector is likely to overperform in 2026, as a defensive play, and also possibly as a beneficiary of the AI adoption.
Getty Images The Macro context My 2026 outlook for the S&P500 (SP500) is a recessionary bear market with the AI bubble burst, in which case the S&P500 could fall significantly, possibly down to 4100. Yet, the Fed just updatedThis article was written byDamir Tokic12.67K FollowersFollowCommodity Trading Adviser (CTA), member of National Futures Association. Professor of Finance, research on Global-macro issues. Editor-in-Chief, Journal of Corporate Accounting and Finance.Analyst’s Disclosure:I/we have a beneficial short position in the shares of SPX 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.Recommended For You