Global equities check-in: Europe strong, Asia rebuilding

Global equity markets remain constructive despite geopolitical uncertainty and ongoing dispersion, with a 15% year-to-date rise in the MSCI ACWI. A global tech boom and non-tech capital expenditure are broadening growth, supporting a 2.6% annualized growth forecast for the second half of the year. Europe shows resilience through strong consumer data and earnings, while APAC benefits from a convergence of cyclical and secular forces, particularly in technology and semiconductors. Investors are cautiously rebuilding exposures, moving from stabilization to accumulation, though hedge funds remain selective. Key risks include potential interest rate hikes from G4 central banks, persistent geopolitical tensions in the Middle East, and the impact of upcoming political cycles. While AI remains a primary driver, market participants are monitoring broader cyclical recovery signs across materials, financials, and energy sectors to navigate short-term volatility.