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U.S. faces a tense election year with economy central

Inflation and jobs reshape the White House race

The United States is entering a crucial election year amid a volatile economic landscape, with the economy emerging as the most prominent issue in the race to the White House in 2026. After years of trade tensions and tight monetary policies, American voters face a mixed economic reality: inflation remains above target, interest rates are high, affecting loans and real estate, while the current administration is trying to convince the public that the economy is still on the right track.

The ruling party focuses on labor market stability and the recovery of consumer spending as evidence of a strong economy, while opponents argue that high living costs and declining purchasing power represent a failure in economic policy management.

With the first debates approaching, the discussion intensifies over the role of the Federal Reserve in balancing efforts to fight inflation with support for growth, as investors fear that any miscalculated move could lead to a new recession.

On the international front, economic foreign policy is another factor in the competition, as trade issues with China, energy security, and foreign aid emerge as real tests for the candidates, especially amid geopolitical tensions affecting oil prices and currency markets.

Analysts believe that the upcoming elections will not only be a referendum on political performance but also on the economic direction of the United States, and whether the country will adopt a more stimulative fiscal policy or continue with a path of monetary discipline.

- Source: Reuters

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