Episode summary
Bloomberg Surveillance TV: May 27th, 2026 | Bloomberg Surveillance
Bloomberg Surveillance
· · Hosts: Tom Keene, Paul Sweeney, Lisa Mateo, Michael Barr · Guests: Mark Haefele, Joseph Votel, Blerina Uruci
Summary
US stocks were extending gains on a chip-led rally, and Mark Haefele of UBS argued the move still has room to run. He said UBS raised its year-end S&P 500 target to 7,900, on the view that continued economic growth and AI adoption can drive further earnings gains. He also said the rally may broaden beyond the biggest tech names and extend globally, while warning that energy and supply-chain bottlenecks could still complicate the trade.
Haefele framed AI as a major market force, saying the spending boom may be outweighing the drag from higher oil prices on global GDP. At the same time, he said clients are staying invested and not getting too caught up in headlines. He pointed to inflation, the dollar, and de-dollarization as key investor concerns, and said gold still has a place as a portfolio hedge tied to sanctions risk and dollar weaponization.
General Joseph Votel then discussed the Strait of Hormuz and said its geography makes energy flows vulnerable because the passage is narrow, shallow, rocky, and hard to navigate. He said escorting ships through the strait would require significant US naval and air resources and would limit other missions, even if some operations could begin with current forces.
Blerina Uruci of T. Rowe Price said the Fed outlook has become a fork in the road. She argued inflation risks are still rising from AI-driven price pressures, China, and energy, but said a resolution in the Middle East and lower oil prices could ease headline inflation. Her baseline was that the Fed stays on hold for 12 months, though she said rates could still be cut in late 2026 or hiked sooner if inflation accelerates.
Key takeaways
- Mark Haefele said UBS lifted its year-end S&P 500 target to 7,900 because AI adoption and economic growth should support further earnings gains.
- Haefele said the rally could broaden beyond the biggest tech names and extend globally, making selective stock picking less attractive than theme exposure.
- General Joseph Votel said securing the Strait of Hormuz would require a large US force package and would likely crowd out other military missions.
- Blerina Uruci said inflation is in a “fork in the road” phase, with AI, China pricing, and energy all creating upside risks.
- Uruci said a Middle East resolution could cool headline inflation, but the Fed could still end up cutting or even hiking depending on how prices evolve.
Notable quotes
“continued economic growth and AI adoption should drive further US earnings increases, supporting additional market gains over the medium term”
“we're bullish on the S&P, but we're probably even more bullish on this rally broadening out from kind of the the top names and extending globally from here”
“I think it's very hard right now to get to overcapacity”
“what usually kills these bull markets is Fed hikes”
“The outlook for inflation has become much more uncertain that it was, let's say, three or six months ago”
How the episode opens
Bloomberg Audio Studios. Podcasts, radio, news. — This is the Bloomberg Surveillance podcast. I'm Jonathan Ferro, along with Lisa Abramowicz and Amry Houghton. Join us each day for insight from the best in markets, economics, and geopolitics. From our global headquarters in New York City, we are live on Bloomberg Television weekday mornings from 6:00 to 9:00 a.m. Eastern. Subscribe to the podcast on
Apple, Spotify, or anywhere else you listen. And as always, on the Bloomberg Terminal and the Bloomberg Business app. — We begin this hour with stocks extending gains on another chip-fueled surge. Mark Haefele of UBS is raising his year-end price target to 7,900, writing continued economic growth and AI adoption should drive further US earnings increases, supporting additional market gains over the medium term. Mark joins us now for more. Mark, welcome to the program. Maybe this is a gut check on sentiment with the following question: Are you bullish enough?
That's a good one. Thank you. You know, I I think that we're bullish on the S&P, but we're probably even more bullish on this rally broadening out from kind of the the top names and extending globally from here. So, you know, for those people who haven't been in on the rally and are afraid to get in, we think there is a lot of opportunity globally now.
How much is this coming from the AI sectors that have already gotten bid up, and how much is this coming from the broadening out that ostensibly will come with some sort of resolution in the Middle East? — Well, I don't think you can discount the AI impact in a broader sense, which is that, you know, the CapEx spend from AI is probably having two times the impact of the the negative effects of the rise in oil prices on global GDP.
From the episode’s captions: roughly the first two minutes, lightly cleaned. Keep watching on YouTube →
Topics
- global wealth management
- u.s. economic outlook
- investment strategy
- markets
- national security
Companies and tickers mentioned
- UBS
- TROW
- UBS
- T Rowe Price
- Business Executives for National Security
Watch the episode
Watch “Bloomberg Surveillance TV: May 27th, 2026 | Bloomberg Surveillance” on YouTube
Summary, takeaways and quote selection by Octagon. Quotes are short excerpts; the full conversation is in the episode.
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