Central banks dispersion, fiscal dominance and tech worries - Our Weekly Cross-Asset Views

The year ends with a slight bond rally alongside bearish consolidation in equity markets, but both markets failed to display a very strong trend recently, waiting for catalysts, as the confidence in the post-shutdown U.S. data remains low. This suggests that January will bring greater clarity on the major risks for next year and on the upcoming Fed path.Nonetheless, the themes observed this week—and throughout the year—such as central banks' dispersion, fiscal dominance, debasement and the AI investment boom (and risks) are expected to persist into 2026. These factors will continue to shape asset allocation views, where the search for equity diversification and for alternatives to bonds will continue to be center stage.