Shannon Saccocia from Neuberger points out something interesting: when the Fed starts cutting rates while the economy stays healthy, that's historically been a sweet spot for equities and riskier plays.

Her take? Two tailwinds could push markets higher—looser monetary policy combined with AI unlocking real productivity improvements across industries. It's that rare combo where policy support meets genuine economic efficiency gains.

Historically speaking, stocks tend to crush it when you get Fed easing WITHOUT a recession backdrop. The data backs this up. We're potentially entering that zone where capital gets cheaper but growth doesn't collapse.

Some traders are already positioning for this scenario, watching rate trajectories closely. The AI angle adds another layer—not just cheap money chasing assets, but actual value creation justifying higher valuations.

Worth keeping an eye on how this plays out over the next few quarters.