Bank of America CEO Drops Unexpected View on the Economy

While a lot of Americans are still feeling squeezed by high prices, Bank of America CEO Brian Moynihan is delivering a message that’s turning heads: the U.S. economy is still holding up better than many people think—and the data inside one of the nation’s largest banks is a big reason why.

Moynihan’s surprise view comes down to one word: spending.

“People are still buying”

According to Moynihan, Bank of America’s view of the economy—based on what customers are actually doing with their money—shows consumer spending staying steady even as inflation fatigue and recession talk dominate headlines. He pointed to the holiday shopping stretch as a key indicator, saying spending through major shopping days and into early December tracked higher than last year, with growth around the 4% range.

That matters because the U.S. economy runs on the consumer. If households stop buying, businesses pull back, hiring slows, and a downturn can feed on itself. Moynihan’s point is simple: that stall hasn’t happened.

Not just the “rich are spending”

Another reason his comments landed as “unexpected” is that he didn’t paint the picture as a luxury-only economy. He described spending trends across income groups as still rising compared to last year—though not necessarily at the same pace for everyone.

In plain terms: even with frustration around groceries, rent, and everyday bills, people are still paying for essentials, still going out, and still participating in the economy—which supports jobs and business revenue.

Inflation is easing, but the pain is real

Moynihan also acknowledged what most people already know: prices remain a sore spot.

Even if inflation has cooled from its peak, the cost of living is still elevated compared to a few years ago, and that can make the economy feel worse than it looks in the data. That disconnect—strong activity but low confidence—has become one of the defining themes of the last year.

His view is that the economy can continue to grow even while households complain about affordability—because employment and wages have kept many consumers afloat.

Labor market: softer, not broken

One of the biggest fears heading into 2026 is that job losses could accelerate. Moynihan’s read: the labor market may be cooling, but it doesn’t appear to be cracking.

That’s important because job security is the foundation of consumer spending. If layoffs spike, spending drops fast. Moynihan’s perspective suggests the U.S. may be moving toward a more normal pace—less overheated than the post-pandemic surge, but not collapsing.

A stronger 2026 forecast—plus an “AI factor”

Moynihan has also talked about a more upbeat growth outlook for next year, including an expectation that the U.S. economy could perform better in 2026 than in 2025. He’s pointed to business investment—especially in technology—as one reason growth could stay resilient.

A major piece of that is AI-related investment. From major companies upgrading systems to broader spending on new tools and infrastructure, Moynihan sees that wave as a real economic tailwind—not just hype.

The bottom line for everyday people

Moynihan’s message isn’t that everything is perfect. It’s that the economy is still moving forward, even with:

• higher living costs

• interest rates that changed borrowing behavior

• anxiety about layoffs and recession headlines

His bigger argument: when you look at the numbers banks can see in real time—spending, deposits, and credit performance—the consumer doesn’t look “broken.” And if the consumer isn’t broken, it’s hard for the whole economy to fall apart overnight.

TopA News Take

This is why Moynihan’s comments hit different: he isn’t guessing based on theory. He’s describing what millions of people are doing with money right now. And his conclusion is clear—the economy may be slowing, but it’s still standing.

If 2026 turns into a stronger year, Moynihan’s “unexpected” view may end up looking less like optimism—and more like an early signal of where the economy was headed all along.