With 2025 in the rearview mirror, several key economic indicators suggest that the United States is entering its 250th year on a strong note, with indices such as the stock market, inflation, and unemployment rates projecting economic strength despite grim forecasts from analysts.

As late as September, economic analysts and global investment banks such as UBS were forecasting a recession in the US as early as late 2025, with the financial giant giving a recession a 93% chance last year.

Just weeks or months after the forecast, several reports that are used as indicators of economic strength painted the opposite picture.

A key short-term indicator, applications for unemployment benefits, fell to historic lows to ring in the New Year, with only 199,000 being filed in the week ending on December 27th, 16,000 less than the previous week.

The stock market, which saw dramatic dips and increases throughout the year due to policies such as Trump’s tariffs, also saw a significant year-over-year increase. (RELATED: Investigation Spurs Instacart Pricing Backlash and Regulatory Scrutiny)

Inflation, a longer-term indicator of economic health, also appears to be at lower than expected levels according to a November report.

The report stated that the Consumer Price Index for November sat at just 2.7%, lower than the 3.1% predicted by financial services and banking giant ING and higher rates predicted by other analysts.

While economic indicators paint a positive picture for 2026, some voters are not convinced.

While President Trump has seen a slight rebound in his approval ratings to close out the year, 57 percent of Americans disapprove of his handling of the economy. (RELATED: Virginia GOP Scrambles After Bryce Reeves Exits 2026 Senate Race)

The President has already pledged to hit the campaign trail ahead of the 2026 midterms to convince Americans that progress is being made on the economy and a number of other issues.