4th Quarter 2025 Market Outlook: Strong markets, weakening fundamentals
The U.S. economy has been stronger than most forecasts, despite high levels of policy uncertainty, particularly around international trade. Consumer spending has stayed robust, unemployment has stayed near historical lows, and there has been substantial investment related to artificial intelligence (AI). As a result, earnings have held up better than most analysts expected and have been repeatedly revised higher.
For fourth quarter, Thrivent Asset Management experts are closely watching labor data, inflation and actions by the Fed.