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The AI Boom vs Main Street

As of late 2025, the gap between equity valuations and real-world economic indicators has never been wider.

Retail Sales vs S&P 500 (source: FRED)

Retail sales growth is slowing while equities rally, indicating the S&P 500 rally is not driven by consumer strength but by tech/AI hype and multiple expansion.

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Cover6 months ago

Manufacturing, Mining, Utilities vs S&P 500 (source: FRED)

Manufacturing and mining are cyclical and commodity-sensitive, while utilities are defensive. The S&P 500's outperformance is driven by tech concentration, not broad-based industrial strength.

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6 months ago

Construction Spending vs S&P 500 (source: FRED)

Construction data suggests the economy is cooling.

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6 months ago

Bank Credit vs S&P 500 (source: FRED)

Equity valuations outpacing credit expansion.

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6 months ago

Datasets used: FRED Money, Banking & Finance , FRED Production & Business Activity

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