The world economy is facing a difficult time. High prices (inflation) continue to be a problem. Artificial intelligence (AI) is also becoming more important very quickly. Important economic numbers will tell us about growth next year. Economists think the world economy will grow by about 2.4% by 2026. This is a small growth. There are good possibilities but also many worries. This week, people are watching important economic news. This includes prices in Europe and jobs in the United States. This news can affect how investors feel.
The economic situation is complicated. There are global tensions and changing trade rules. New technology, like AI, also causes big changes. Last year, the economy was stronger than some people thought. It also faced high inflation. However, there are still risks. World politics, trade taxes, and less government help are changing what we expect from the economy. Countries are also making more things closer to home. This changes how companies get supplies and can increase costs. Many countries have high debts. This makes it harder for them to spend money.
Technology, especially AI, is helping investment and growth. The US government now allows Nvidia to sell advanced AI chips to China. This is a big step. It could change how fast AI develops globally. Nigel Green, who leads a company called deVere Group, said, "This decision changes how fast and how much AI can spread." Before, China could not get the best AI technology. However, Chinese companies have been very creative. They used good computer programs and lots of data. Now, with better computers, AI development will likely be faster.
This new situation with AI is making investors look at technology companies differently. Investors are now more focused on companies that are strong and show they can make money. Some big technology companies are doing much better than others. Some are already making money from their AI investments. This shows that investors want companies that can use AI to make reliable income.
More economic news about prices and jobs is also important. In Germany, prices went up by only 1.8% in December. Prices in the Eurozone are expected to rise by 2% this year. In Australia, prices went down in November. This helped the Australian dollar get stronger. This news, along with US jobs data, will affect markets. Investors will look closely at company reports. They want to see real proof that AI is helping companies make more profit.