Market Signals: There’s a price to staying in the game
Nick Schoenmaker | Portfolio Construction Forum | 26 October 2026 | 0.25 CE
The financial markets are beginning to confront a problem that has been building beneath the surface of an otherwise remarkably resilient global economy. Corporate earnings remain strong, investment in artificial intelligence continues at an extraordinary pace, and economic growth has proved more durable than many anticipated. Yet the financial conditions supporting that expansion are becoming considerably less accommodating.
The most important development is occurring in credit markets. Borrowing costs for highly leveraged AI infrastructure compa...