Allianz Investments predicts the Federal Reserve will raise interest rates in December of this year, March of next year, and June of next year.

On November 5th, Allianz Investment Management predicted that the Federal Reserve would raise interest rates in December of this year, March of next year, and June of next year. Gregor MA Hirt, Chief Investment Officer for Multi-Assets at Allianz Investment Management, stated that there is currently no AI bubble, as corporate earnings are strong and capital expenditures continue. Michael Heldmann, Chief Investment Officer for Equities at Allianz Global Investors, anticipates U.S. corporate earnings growth of approximately 16% in 2027, with robust earnings growth serving as a key support for U.S. stocks. Given the current high valuations and bond yields, future stock returns will depend on corporate earnings growth and dividend performance. Market focus is shifting from companies involved in AI infrastructure to those capable of converting AI applications into sustainable profits. Allianz is optimistic about companies with consistent dividend growth potential, and financial stocks remain one of its favored sectors.