We’re halfway through the year, and our newly released Midyear Outlook 2026: Policy, Buildouts, & Bottlenecks helps you cut through the noise and understand what’s shaping the economic and market landscape right now. It also provides important context for what these developments could mean as conditions continue to evolve, building on the themes introduced in our 2026 Outlook and bringing them forward with timely perspective.
In this edition, we examine the forces driving change, from policy decisions and global supply dynamics to continued investment in artificial intelligence (AI). These forces remain central to how markets are behaving today and are expected to continue influencing outcomes as the year progresses.
As we move into the second half of 2026, markets have already weathered quite a few moving pieces. A new Federal Reserve (Fed) chair, geopolitical shock in the Middle East that pushed oil prices and bond yields higher, and a technology spending boom are already reshaping entire corners of the market. Through all of it, stocks kept climbing and the economy kept growing. That resilience is the story. Economic growth is expected to continue at a moderate pace, supported by business investment, while inflation and interest rates may remain unpredictable.
Staying informed and maintaining a balanced, diversified approach will be key as markets may continue to experience periods of volatility and shifting leadership. The question now is, can it continue? We believe the short answer is yes, but with more complexity. Four themes will define the months ahead and understanding them is the key to staying well positioned.
