IN THIS ISSUE

• Macro Strategy — AI, Productivity and R*: Artificial Intelligence (AI) may boost productivity, but adoption frictions and demand constraints mean its impact is likely to be incremental and disinflationary—supporting long‑term growth without causing extreme job losses or structurally higher interest rates.
  
  
• Market View — The Key Exception to U.S. Energy Independence: Critical Minerals’: U.S. Equity outperformance has highlighted America’s energy independence, but persistent reliance on China for critical minerals is now driving national-security-focused investment momentum.
  
  
• Thought of the Week — The U.S. Migration Shock that Wasn’t—U.S. Demographics Remain a Favorable Outlier: Despite a sharp drop in net immigration last year, U.S. population growth remains positive and structurally stronger than other developed economies, supporting labor force expansion, consumption, innovation, and long‑term economic and market growth.