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This chart, from Apollo’s Torsten Slok, illustrates the steady climb in US growth expectations.
Despite these increases, the current consensus remains low relative to my own probability-weighted forecast.
Having said that, and as I detailed in a recent column, the forward-looking distribution of outcomes for 2026 is multimodal, characterized by significant "fat tails" on both sides. This dispersion makes high-conviction forecasting a challenge without timely steps to mitigate downside risks.
Put another way: the potential for robust US growth is promising, provided:
Private initiatives continue to unleash productivity,
Policy missteps are avoided,
Elevated financial valuations are validated by real-world economic developments, and
The US avoids an excessive decoupling of growth from employment.
#economy #growth #markets

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