Summary
The U.S. job market is expected to have little to no growth in 2026, according to Mark Zandi, the chief economist at Moody's Analytics. The economy's fragile growth could lead to higher unemployment and possibly a recession. The success of economic recovery will depend on President Trump's policies and business adaptations to AI.
Key Facts
- The U.S. economy is predicted to grow in 2026, but this growth is described as fragile.
- The job market is expected to see little to no growth, possibly increasing unemployment.
- Concerns arise from recent weak job growth and possible continuation of this trend.
- President Trump’s trade and immigration policies may influence economic performance.
- According to Moody’s, the U.S. added only 50,000 jobs in December, below averages.
- The forecasted GDP growth for 2026 is 2.3 percent, as compared to 2.1 percent for 2025.
- Mark Zandi mentioned AI as a contributor to GDP growth, adding about half a percent.
- Further Federal Reserve monetary easing might provide additional economic stimulus.