2026 US economic growth slows down, signaling a troubling sign for investors

WhaleMinion · 2026-01-13T08:36:03+00:00

The U.S. economy is expected to grow next year due to increased AI investment, yet the job market shows no clear recovery, with rising unemployment among Black workers and wage growth slowing. This economic disparity reflects mixed sentiments among market participants influenced by Federal Reserve policies and the Trump administration's trade adjustments, complicating predictions for future market trends.

WhaleMinion

2026-01-13 08:36:03

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Recently, the US economy is expected to continue its growth next year, driven by increased investment in the artificial intelligence sector. However, an interesting point is that, despite the overall expansion of the economy, the job market has not shown clear signs of recovery.

Diverging Economic Signals, What’s Behind Them?

As of November 2025, the Black unemployment rate has reached 8.3%, marking the worst situation since 2019. Particularly, college degree holders and non-healthcare sector workers are at the forefront of job losses. Despite economic expansion, employment opportunities are shrinking, and wage growth is also slowing down.

This mismatch is also reflected in the fear and greed index, causing mixed emotions among market participants.

The Impact of Federal Reserve and Trump Policies

The Federal Reserve’s interest rate cuts and the Trump administration’s trade policy adjustments are new variables in the market. These policy changes are influencing investors’ asset allocation strategies and could significantly impact the cryptocurrency sector, including the altcoin market.

The dual signals from the US economy make it difficult to gauge the future market direction.

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