Business
BofA boosts GDP outlook, striking bullish tone on economy amid strong spending
Bank of America CEO Brian Moynihan joins ‘Mornings with Maria’ to break down why his team raised GDP forecasts, how President Donald Trump’s tax law is boosting growth and what’s next for rates and inflation.
One of America’s largest banks says the U.S. economy could be stronger than many investors expect and suggests Wall Street may be underestimating growth potential under current economic policies.
Bank of America (BofA) raised its 2026 GDP growth forecast from 2.6% to 2.8%, striking a bullish tone well above market consensus.
CEO Brian Moynihan outlined the upgraded outlook in a Monday interview with FOX Business’ Maria Bartiromo in Davos, Switzerland.
BANK OF AMERICA TO AWARD $1B IN STOCK TO NEARLY ALL EMPLOYEES THROUGH SHARING SUCCESS PROGRAM
Bank of America Chairman and CEO Brian Moynihan appears on the FOX Business Network on March 27, 2025, in New York City. (Photo by John Lamparski/Getty Images / Getty Images)
“What’s behind that move is a belief that there are more good things happening in the U.S. economy in 2026 than we thought earlier this year,” Moynihan said.
“So we moved from 2.6% growth to 2.8%, which is well above the general consensus.”
SOME AMERICANS WILL LOSE POPULAR 401(K) TAX BREAK IN MAJOR RETIREMENT RULE CHANGE STARTING 2026
Signage at a Bank of America branch in New York, on Saturday, Oct. 5, 2024. (Michael Nagle/Bloomberg via Getty Images / Getty Images)
Moynihan said while the outlook reflects a generally positive view from the bank’s research team, he emphasized that client activity also influences the firm’s economic perspective.
He noted early January spending and seasonal patterns have shown signs of strength, reflecting resilient consumer behavior.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
The financial giant marked its ninth straight year of worker stock awards under its Sharing Success Program — part of a broader effort to boost wages, expand hiring and invest in the U.S. workforce.
He added that credit conditions and earnings results among large banks have been solid, which he interpreted as supportive of economic growth prospects in 2026.
