Inflation Outlook: Hope or Fear in 2026?
Update: 2025-12-22
Description
In 2026, Americans may see a break from sky-high prices, or inflation could persist. Analysts are divided on the outlook due to tariffs, pandemic supply issues, and economic fluctuations. Some predict inflation will cool as the economy slows, with personal consumption expenditures inflation dropping to 2.5% by year-end. This is attributed to a cooling job market, weaker consumer spending, and policies from Washington limiting price hikes. However, others warn inflation could stay hot or even spike due to big tax refunds, higher deficits, and a lean labor force. The real story will unfold as data rolls in.
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