Morgan Stanley: Prices Up, Jobs Safe in 2026

Morgan Stanleys chief US economist, Michael Gapen, suggests companies may avoid mass layoffs in 2026 by raising prices to offset tariff costs and maintain profits. After initially cutting hiring and staff, businesses have started passing tariff costs to consumers, boosting profitability without significant job losses. However, the success of this strategy depends on consumers accepting higher prices amid economic uncertainty.The Daily News Now! — Every city. Every story. AI-powered. Hosted on Acast. See acast.com/privacy for more information.