Despite growing uncertainty over U.S. tariff policy, Apollo chief economist Torsten Slok remains optimistic about the world’s largest economy. “The U.S. economy is set to receive a lift in the coming quarters” he said in a Handelsblatt podcast.
Slok pointed to three key factors behind this outlook. First, the tax relief for companies that was passed by the budget law. Second, the persistently high investments in data‑center infrastructure. Third, an industrial renaissance fueled by a current political will to boost spending on defense and infrastructure. At the same time, he warned that market risks have increased, potentially triggering a shift in investor sentiment.
He urged investors to cut AI exposure from their portfolios, noting that the risk is growing not only in equities but also in bonds, private credit and venture capital. Investors in recent years have heavily weighted AI versus other sectors, and large U.S. tech companies have been issuing bonds in record volumes.
