As 2026 unfolds, financial markets around the world are contending with a complex mix of growth opportunities and lingering uncertainty from trade tariffs. While global economic growth is expected to moderate, Bart Willey, market president for Truliant Federal Credit Union, is bullish on 2026 for South Carolina, seeing opportunities for businesses and investors in key regional sectors. The continued presence of tariffs between major trading partners is reshaping global supply chains, pressuring corporate margins, and influencing investment strategies, creating a cautious backdrop for equities and other financial assets.

Global economic growth is projected to be moderate this year, with advanced economies expected to expand around 3% and emerging markets closer to 4.5%. Inflation has largely stabilized after several years of volatility, allowing central banks in the U.S., Europe, and other major economies to maintain interest rates at elevated but measured levels. This approach supports fixed-income investments while keeping equities grounded in corporate earnings fundamentals rather than speculative momentum.

Equity markets in 2026 are likely to deliver selective gains rather than broad rallies. Technology, healthcare, and renewable energy sectors are expected to outperform, driven by long-term structural demand and innovation. In contrast, traditional manufacturing, export-dependent industries, and consumer goods sectors face headwinds from higher costs and trade-related disruptions. Companies continue to adjust supply chains in response to tariffs, relocating production closer to key markets or diversifying sourcing to mitigate risk. These strategies, while enhancing resilience, have increased operational costs and weighed on profit margins in certain industries.

The automotive and electronics sectors remain among the most affected, with tariffs on metals and components increasing production costs. Agriculture and commodities also feel the impact, as export tariffs reduce competitiveness in global markets and shift trade flows. Even consumer goods have experienced price pressures, with higher import costs translating to elevated retail prices in many regions. Despite these challenges, some countries and regions are benefiting from trade diversion, attracting manufacturing and investment as firms seek tariff-friendly markets.

Bond markets have stabilized in 2026, with long-term yields offering attractive returns for conservative investors. Inflation-linked securities and high-quality government bonds are increasingly favored as tools to manage uncertainty. Commodities, particularly gold and other precious metals, maintain their role as safe-haven assets, while alternative investments, including private equity and venture capital, continue to draw capital, especially in sectors insulated from tariff pressures such as software, digital services, and green technologies.

Geopolitical and regulatory developments remain significant factors in market dynamics. Beyond trade tariffs, regional conflicts, evolving international trade agreements, and technological disruption create additional layers of uncertainty for investors. Companies and investment managers are increasingly incorporating scenario planning and risk management strategies to navigate these challenges.

Overall, 2026 is expected to be a year where disciplined sector selection and strategic risk management will define market performance. Structural growth sectors such as technology, healthcare, and renewable energy present opportunities for investors, while tariff-driven challenges continue to weigh on global trade and corporate profitability. The ongoing recalibration of supply chains, alongside moderate economic growth and stable interest rates, sets the stage for a cautious but opportunity-rich financial environment.

Be sure to watch this month’s Industry Outlook: Banking and Finance, where Bart Willey, market president for Truliant Federal Credit Union, presents the latest analysis. It’s “Let’s Talk Business South Carolina, Episode #70.”

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