Market Call – July 13, 2026
Dan Rohinton, Vice President & Portfolio Manager, IA Global Asset Management
Focus: Large-cap global equities
Top Picks: CMS Energy, Taiwan Semiconductor, Amazon
MARKET OUTLOOK:
Markets keep climbing a wall of worry. The S&P 500 is up roughly eight per cent this year, powered by the massive artificial intelligence (AI) spending boom, and second quarter earnings season should deliver another quarter of 20 per cent plus earnings growth.
The risks are real: inflation hit 4.2 per cent in May (a three-year high), the bond market now expects rate hikes instead of cuts, and the Iran conflict is a wildcard for oil prices.
The good news is the rally is broadening out. Small caps just had their best first half since 1991 and international markets are outperforming the U.S. Diversification is working again.
We continue to favor quality global businesses with pricing power over crowded trades, and we’d treat any pullbacks as buying opportunities rather than reasons to exit.
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TOP PICKS:
CMS Energy (CMS NYSE)
A stable consistent compounder utility.
Rate base growth which is a measure of the utilities investment opportunity set remains robust at attractive returns on equity.
Spending is stable consistent with a balanced capital allocation policy. Stock has been held back by higher rates. At roughly 19 times earnings, you’re paying a fair price for a consistent compounding engine.
Taiwan Semiconductor (TSM NYSE)
The dominant chip manufacturer in the world. Every major AI chip, from Nvidia to Apple, is made in their factories.
Demand is off the charts: management expects 30 per cent plus revenue growth this year and profits jumped 58 per cent last quarter.
A disciplined, well-run company at a time of tremendous demand pull. They can raise prices and customers will still line up.
Taiwan risk is why the stock is cheap. Being the toll booth of the entire AI buildout is why we own it.
Amazon (AMZN NASDAQ)
The flywheel is spinning faster on every front.
AWS, the cloud business, grew 28 per cent last quarter, its fastest pace in almost four years, driven by AI demand. Their in-house chip business is now over US$20 billion in annual revenue and growing triple digits.
Advertising is a US$70 billion plus business growing 24 per cent, and the retail side is posting its best growth since the pandemic.
Spending on data centres is enormous, but the cash generation is even bigger. They can build the future while making money today.
| DISCLOSURE | PERSONAL | FAMILY | PORTFOLIO/FUND |
|---|---|---|---|
| CMS NYSE | N | N | Y |
| TSM NYSE | N | N | Y |
| AMZN NASDAQ | N | N | Y |
PAST PICKS: SEPT. 24, 2025
CRH Plc (CRH NYSE)
Then: US$91.49
Now: US$104.36
Return: 14%
Total Return: 17%
LSEG Group (LSEG LON)
Then: GBX$10,235.00
Now: GBX$8,988.00
Return: -12%
Total Return: -10%
Apollo Global (APO NYSE)
Then: US$125.13
Now: US$119.99
Return: -4%
Total Return: -1%
Total Return Average: 2%
| DISCLOSURE | PERSONAL | FAMILY | PORTFOLIO/FUND |
|---|---|---|---|
| CRH NYSE | N | N | Y |
| LSEG LON | N | N | N |
| APO NYSE | N | N | Y |
