Q4 Outlook: Slowing Growth, Diverging Policies, and Select Opportunities

Allianz Global Investors’ Snapshot Q4 2025 highlights key macro risks and asset allocation themes for the months ahead.

• The U.S. faces stagflationary risks, with tariffs adding to inflation pressures even as growth stagnates; Fed funds seen falling to 3.5% by mid-2026.

• Europe offers pockets of resilience, supported by Germany’s planned fiscal expansion and ECB easing, though political risks in France linger.

• Investment opportunities stand out in European strategic industries, undervalued Japanese equities, and high-quality credit, with gold reaffirmed as a key safe haven.

How should portfolios balance resilience with tactical opportunities in a fragile global landscape? Explore the full report for deeper insights.