AI Faces "Show Me" Year in 2026; Cyclicals Poised to Lead, Says Raymond James Strategist

• Raymond James strategist Matt Orton predicts 2026 will be a "show me" year for AI, demanding tangible results and sustained earnings growth from companies.
• Orton advises investors to lean into cyclicals for 2026, highlighting financials and industrials in the US, and banking in India (HDFC Bank, ICICI Bank).
• Indian IT services, including Tech Mahindra and Infosys, show early turnaround signs, but Orton remains cautious, awaiting proven recovery.
• Orton sees Swiggy as attractively priced after a tough 2025, positioned well with strong credit lines and higher-value offerings.
• Strength in base metals like copper signals resilient global growth, with demand outstripping supply due to underinvestment, potentially surprising investors.

Why It Matters: 2026 demands proven AI results, while cyclicals and commodities offer strong investment opportunities.