For this episode of The Navigator podcast, we’re bringing you a conversation from Strategic Alternatives, a podcast published by our colleagues at RBC Capital Markets.
Frances Donald, RBC Chief Economist, joins Vito Sperduto, Head, RBC Capital Markets U.S., to examine five disruptors reshaping the U.S. economy, complicating forecasts, and influencing decisions across markets and policy.
Key points
Sizable disruptors to the U.S. economic cycle are altering traditional patterns and challenging conventional interpretation.
This marks a shift away from early-, mid-, and late-cycle dynamics toward a more fragmented and less predictable economy.
Tariffs, labor supply constraints, government spending, and housing dislocations are reshaping macro signals and distorting the cycle.
The K-shaped economy reflects deepening segmentation, with high-income households benefiting while lower-income households face rising pressure.
Headline data no longer tells the full story. Early indicators like producer prices, import costs, and earnings are now more meaningful.