- US Q3 GDP grew 4.3%, surpassing analyst expectations of 3.2% growth
- Elon Musk predicted double-digit growth within 12-18 months due to AI
- S&P 500 hit a record high of 6,937.32 points amid economic optimism
Following the release of stronger-than-expected Q3 GDP figures by the U.S. Department of Commerce, Wall Street has been abuzz with discussions about the role of artificial intelligence in powering economic growth. Those conversations reached a fever pitch overnight after a tweet from the world's richest man, Elon Musk.
Responding to a post about U.S. economic performance on X, Musk predicted, "Double-digit growth is coming within 12 to 18 months. If applied intelligence is proxy for economic growth, which it should be, triple-digit is possible in ~5 years."
Double-digit growth is coming within 12 to 18 months.
— Elon Musk (@elonmusk) December 24, 2025
If applied intelligence is proxy for economic growth, which it should be, triple-digit is possible in ~5 years.
According to the Bureau of Economic Analysis, the U.S. economy grew 4.3% year-on-year in Q3, beating analyst expectations of 3.2%. This robust performance lifted investor sentiment ahead of Christmas, pushing the S&P 500 Index to an intraday record high of 6,937.32 points, signaling optimism about the economic outlook.
Reports say that Federal Reserve officials cite AI data center spending, alongside consumer demand and fiscal support, as factors underpinning their projections for stronger growth in 2026.
Business investment rose at a 2.8% annual rate in Q3, driven partly by spending on computer equipment and data centers to support AI workloads. Policymakers are signaling a gradual series of interest-rate cuts in 2026, anticipating robust growth and inflation remaining above target.
This is not the first time that Musk has put his perspective forward on America's fiscal trajectory. In a wide-ranging conversation on The Joe Rogan Experience, Musk offered a blunt assessment of the current environment. Framing the national debt as more than a partisan or short‑term political issue, Musk called it a structural risk to the country's long‑run economic health.
His remarks align with themes he has raised repeatedly — government inefficiency, flagging industrial productivity, and the imperative for technological acceleration — arguing that without a step‑change in innovation and output, the U.S. will struggle to maintain global competitiveness.
US GDP Grows 4.3% In Third Quarter, Fastest In Two Years
