Economic Uncertainty
Feeling uncertainty right now? You're not alone.
Recent economic and political headlines have rattled the markets leading to a huge downturn in equity assets. Additionally, treasury assets are under pressure as concern grows regarding the stability of U.S. policies.
We share the concerns that many of you have regarding how new policies or actions will impact the markets. We have intentionally avoided an overweight in treasury instruments because of concerns about the U.S. deficit. We also continue to diversify equity assets on concerns about valuation bubbles and policy related volatility.
It's not time to panic. But we certainly should be paying careful attention to what's happening on a geopolitical basis as well as the policies within the United States. These are challenging times that require careful monitoring and adjustments as needed.
A recent Fox Business News article highlighted the concerns of CEOs regarding economic stability in the United States.
Excerpts are listed below.
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“The main worry facing CEOs of U.S. companies as 2026 begins is economic uncertainty, which is a bigger concern for American business leaders than their global counterparts, according to a new report.
The Conference Board released a survey of more than 1,700 executives, including more than 750 CEOs, from North America, Europe and Asia, which showed a difference in the primary worry bothering CEOs of firms in the U.S. versus those around the world.
Uncertainty was the leading economic concern among U.S. CEOs for 2026, with 43% of respondents ranking it as the top threat, followed by 35% citing the risk of a downturn or recession.
Among CEOs globally, an economic downturn or recession was the top threat for 2026 for 36% of respondents, while uncertainty ranked second with 29% calling it the top economic threat.
"Heading into 2026, CEOs are navigating converging pressures that are weighing on profits and growth. At the same time, these forces are spurring innovation, with most CEOs worldwide focused on revamping their business models," said Dana M. Peterson, chief economist at The Conference Board.””
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