Outside the Box
Businesses are managing tariffs, and AI is boosting productivity — improving prospects for the economy, profits and financial markets
Published:
U.S. businesses and the economy will continue to dynamically adjust and forge ahead in 2026. The business sector demonstrated remarkable capabilities for dynamic, on-the-fly adjustments last year, setting the stage for a stronger 2026.
By the fourth quarter of 2025, businesses generated productivity gains and the economy was seeing solid growth. So 2026 opens under highly constructive conditions for the economy. Five compelling forces in particular are combining now to form a positive outlook for U.S. business performance, employment, profit margins and equity markets in 2026.