Strong labor market conditions, with the unemployment rate holding near 4.1-4.2% through mid-2026 and only modest July payroll weakness, anchor the 63% market-implied probability of a soft landing and 34.5% chance of overheating by year-end. Both outcomes feature sub-5% unemployment, reflecting resilient hiring and limited slack despite Q2 GDP growth slowing to 1.5%. Elevated inflation—headline CPI near 3.4% and core PCE measures above the Fed’s 2% target—drives the notable weighting on overheating, fueled by earlier energy shocks and sticky services prices. The FOMC’s hold at the 3.50-3.75% funds rate range, with hawkish dissent and minutes signaling potential tightening if disinflation stalls, reinforces trader focus on whether price pressures ease below 3.5% without pushing joblessness higher. September data releases and the next FOMC meeting remain key near-term catalysts.
Experimental AI-generated summary referencing Polymarket data. This is not trading advice and plays no role in how this market resolves. · UpdatedSoft Landing (Unemployment <5.0%, Inflation <3.5%) 63%
Overheating (Unemployment <5.0%, Inflation ≥3.5%) 35%
Stagflation (Unemployment ≥5.0%, Inflation ≥3.5%) 4.5%
Slack (Unemployment ≥5.0%, Inflation <3.5%) <1%
$71,527 Vol.
$71,527 Vol.
Soft Landing (Unemployment <5.0%, Inflation <3.5%)
63%
Overheating (Unemployment <5.0%, Inflation ≥3.5%)
35%
Stagflation (Unemployment ≥5.0%, Inflation ≥3.5%)
4%
Slack (Unemployment ≥5.0%, Inflation <3.5%)
<1%
Soft Landing (Unemployment <5.0%, Inflation <3.5%) 63%
Overheating (Unemployment <5.0%, Inflation ≥3.5%) 35%
Stagflation (Unemployment ≥5.0%, Inflation ≥3.5%) 4.5%
Slack (Unemployment ≥5.0%, Inflation <3.5%) <1%
$71,527 Vol.
$71,527 Vol.
Soft Landing (Unemployment <5.0%, Inflation <3.5%)
63%
Overheating (Unemployment <5.0%, Inflation ≥3.5%)
35%
Stagflation (Unemployment ≥5.0%, Inflation ≥3.5%)
4%
Slack (Unemployment ≥5.0%, Inflation <3.5%)
<1%
This market will resolve according to the unemployment rate and the inflation rate published for December 2026.
If either the December 2026 inflation rate or the December 2026 unemployment rate is not published by January 31, 2027, 11:59 PM ET, this market will resolve based on the most recently published available value of the rate for a month prior to December 2026.
This market will resolve to “Soft Landing (Unemployment <5.0%, Inflation <3.5%)” if the unemployment rate is less than 5.0% and the inflation rate is less than 3.5%.
This market will resolve to “Stagflation (Unemployment ≥5.0%, Inflation ≥3.5%)” if the unemployment rate is greater than or equal to 5.0% and the inflation rate is greater than or equal to 3.5%.
This market will resolve to “Overheating (Unemployment <5.0%, Inflation ≥3.5%)” if the unemployment rate is less than 5.0% and the inflation rate is greater than or equal to 3.5%.
This market will resolve to “Slack (Unemployment ≥5.0%, Inflation <3.5%)” if the unemployment rate is greater than or equal to 5.0% and the inflation rate is less than 3.5%.
The resolution source for this market will be the Bureau of Labor Statistics, specifically its Employment Situation and Consumer Price Index releases.
Market Opened: Apr 24, 2026, 5:47 PM ET
Resolver
0x69c47De9D...This market will resolve according to the unemployment rate and the inflation rate published for December 2026.
If either the December 2026 inflation rate or the December 2026 unemployment rate is not published by January 31, 2027, 11:59 PM ET, this market will resolve based on the most recently published available value of the rate for a month prior to December 2026.
This market will resolve to “Soft Landing (Unemployment <5.0%, Inflation <3.5%)” if the unemployment rate is less than 5.0% and the inflation rate is less than 3.5%.
This market will resolve to “Stagflation (Unemployment ≥5.0%, Inflation ≥3.5%)” if the unemployment rate is greater than or equal to 5.0% and the inflation rate is greater than or equal to 3.5%.
This market will resolve to “Overheating (Unemployment <5.0%, Inflation ≥3.5%)” if the unemployment rate is less than 5.0% and the inflation rate is greater than or equal to 3.5%.
This market will resolve to “Slack (Unemployment ≥5.0%, Inflation <3.5%)” if the unemployment rate is greater than or equal to 5.0% and the inflation rate is less than 3.5%.
The resolution source for this market will be the Bureau of Labor Statistics, specifically its Employment Situation and Consumer Price Index releases.
Resolver
0x69c47De9D...Strong labor market conditions, with the unemployment rate holding near 4.1-4.2% through mid-2026 and only modest July payroll weakness, anchor the 63% market-implied probability of a soft landing and 34.5% chance of overheating by year-end. Both outcomes feature sub-5% unemployment, reflecting resilient hiring and limited slack despite Q2 GDP growth slowing to 1.5%. Elevated inflation—headline CPI near 3.4% and core PCE measures above the Fed’s 2% target—drives the notable weighting on overheating, fueled by earlier energy shocks and sticky services prices. The FOMC’s hold at the 3.50-3.75% funds rate range, with hawkish dissent and minutes signaling potential tightening if disinflation stalls, reinforces trader focus on whether price pressures ease below 3.5% without pushing joblessness higher. September data releases and the next FOMC meeting remain key near-term catalysts.
Experimental AI-generated summary referencing Polymarket data. This is not trading advice and plays no role in how this market resolves. · Updated


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