News Summary

• High inflation and lower growth could be the result of the Iran war.
• In periods of rising inflation, the market's leadership has historically shifted.
• In a hot inflation regime, earnings tend to be the strongest in real estate, energy, materials, and industrials.
• Investors may be wary of the broader market when considering the outlook for Fed rate cuts, the firm suggested.
• The Fed last cut rates in December, meaning the central bank's pause on monetary policy changes is approaching the six-month mark in June.