- Trade tariffs, inflation and a weakening jobs market were among the top 2025 economic issues
- In spite of fiscal headwinds, robust consumer spending boosted the overall economy
- But, a closer look at who’s spending reveals a tale of the haves and have-nots
The U.S. economy was buffeted by waves of stormy factors in 2025 including erratic trade policy changes, pesky inflationary pressures and a jobs market that has been mostly in decline for the past 12 months.
But while there were plenty of worrisome data points along the way, U.S. investment markets, buoyed in large part by booming artificial intelligence investment, are nearing the end of a stellar year. And the most powerful economic driver, consumer spending, has remained strong in spite of sour sentiment and overall economic conditions that are challenging family budgets.
The Federal Reserve ended the year with a series of cuts to its…
