Global Macro Research
GrowthEight key questions for 2026
We consider key questions facing the global economy and markets in 2026, including the outlook for US growth and the labour market, monetary policy under the next Fed chair, whether there is an AI bubble that bursts, if China’s anti-involution campaign will raise inflation, and a big year for Latin American politics.
Author
Global Macro Research
Duration: 1 Min
Date: 22 Dec 2025
Key Takeaways
- Will stronger US economic growth lead to a labour market rebound? Yes
- How will the next Fed chair affect monetary policy? Dovishly
- Is there an AI bubble, and will it burst? Not yet
- Will China’s anti-involution campaign banish low inflation? No.
- Will fiscal tailwinds boost Eurozone growth? It’s mainly a 2027 story.
- How will Japan’s monetary and fiscal policy outlook shift under Prime Minister Takaichi? Gradually.
- How will the election cycle, and US foreign policy, shape Latin America in 2026? Significantly.
Is there political leadership change coming in the UK? May elections are a danger point for Prime Minister Starmer.
