Dennis Shen, chair of the Macroeconomic Council at Scope Ratings, shares insights on the global economic outlook for 2026. He discusses the potential risks of inflation, geopolitical tensions, and the challenges facing major economies like the U.S., China, and Europe. Shen warns about U.S. fiscal deficits influencing Federal Reserve policies and assesses China's efforts to navigate its housing crisis. He also emphasizes the need for caution in European fiscal limits and highlights systemic vulnerabilities in financial markets, driven by high valuations and non-bank leverage.
