2026 start very uncertain in the United States


22 Dec

2026 start very uncertain in the United States

GDP slows in Q3. Soft landing in Q4 and Q1 2026 highly uncertain. High underemployment at 8.7%. Key interest rates close to neutral. Risks of inflation rebound in Q1. Reduced outlook for bonds. Consolidation of equity markets.

Key points

  • Growth slows in Q3 after Q2 euphoria
  • Soft landing in Q4 for US GDP
  • Leading indicators remain positive in services
  • Unemployment rises to 4.6% and underemployment to 8.7%
  • Fed cuts rates close to neutral level
  • Risks of sharp rebound in inflation in Q1 2026
  • Less clear outlook for bond market
  • New paradigm for the dollar
  • Risk/return ratio unfavorable for US equities