Global Growth Slows to 3.0% in 2026 Amid Energy Shocks and Geopolitical Uncertainty

Global growth is projected at 3.0% for 2026, down from 3.3% in 2025 per Peterson Institute analysis, driven by Iran conflict disruptions keeping oil prices 30-40% above pre-war levels despite a two-week ceasefire. Financial markets saw energy surges, equity sell-offs, and higher rates before partial retracement. US March CPI hit its highest annual level in nearly two years, with gas prices up 21%.