Marketplace Morning Report "Uncertainty" marked this year's economy. What about 2026?
5 snips
Dec 29, 2025 
Stephen Juno, a Senior Economist at Bank of America, dives into the economic forecast for 2026. He highlights reasons for continued U.S. economic growth, driven by AI and fiscal support. Juno addresses inflation concerns, discussing how tariffs and labor supply impact job growth. He also speculates on the implications of potential Supreme Court rulings on tariffs, which could alter economic dynamics. Plus, the rise in adjustable-rate mortgage applications reveals shifting borrower strategies in today's economy.
AI Snips
Chapters
Transcript
Episode notes
U.S. Growth Outperformance
- The U.S. economy is likely to continue outperforming peers next year due to multiple tailwinds.
- Fiscal expansion, easing Fed policy, and AI-driven CapEx underpin above-trend growth according to Stephen Juno.
Inflation And Labor Outlook
- Inflation will remain a challenge and may ease later as tariff-driven pressures fade.
- Labor supply constraints and reduced uncertainty should support broader hiring next year, says Stephen Juno.
Why Job Growth Slowed
- Hiring slowed this year partly from uncertainty and partly from reduced immigration causing negative labor supply shocks.
- Less policy volatility next year should allow firms to broaden hiring, says Stephen Juno.