Global Economy Expected to Post Moderate Growth in 2026 -- Market Talk

Dow Jones12-19

0431 GMT - The global economy in 2026 is expected to see moderate growth alongside widening gaps in performance and policy, according to Capital Economics in a research note. CE notes the economic benefits of AI will likely strengthen, leading to another year of U.S. outperformance, as adoption in other regions lags. However, China's technological development is unlikely to offset its deep structural imbalances, as it continues to face deflationary pressures. Additionally, fiscal strains in advanced economies, particularly in Europe, are expected to cause periods of market volatility. (tracy.qu@wsj.com)

 

(END) Dow Jones Newswires

December 18, 2025 23:31 ET (04:31 GMT)

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