
WSJ What’s News 2026 Graduates Face Worst Jobs Market in 5 years
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Nov 14, 2025 Alex Frangos, an economics editor at The Wall Street Journal, shares insights on the challenging job market awaiting 2026 graduates. He emphasizes the pessimism among employers and the impact of economic stagnation. Frangos highlights how AI is beginning to replace entry-level jobs, making it even harder for new graduates to find positions. Despite these difficulties, some fields like healthcare and education still show growth, offering a glimmer of hope for graduates in search of opportunities.
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Markets Shift From Euphoria To Skepticism
- Markets have swung from euphoria to skepticism after a strong risky-asset rally this year.
- Delayed government data and lofty AI-driven tech valuations are fuelling a rapid reassessment.
AI Spending Raises Valuation Risks
- Tech valuations now resemble late-dot-com levels for some measures amid big AI bets.
- If AI investments fail to deliver expected returns, those valuations may become unsustainable.
Data Delays Could Upend Fed Cut Bets
- Investors worry that delayed data could show sticky inflation or labour weakness and halt Fed cuts.
- Futures now price only about a 50% chance of a December rate cut, down sharply from prior weeks.
