Anna Kovner, director of research at the Federal Reserve Bank of Richmond, reviews the significant, rapid changes in trade policy, immigration policy, and the size of the federal workforce in 2025. She also discusses how the Richmond Fed has assessed the economic impact of these changes through its research and outreach programs.

Huberto Ennis provides an updated view of the Federal Reserve's management of its balance sheet and the flow of reserves between banks, which were the focus of a recent conference held at the Federal Reserve Bank of Richmond. Ennis is group vice president for micro, macro and financial economics at the Richmond Fed.

Tom Barkin, president and CEO of the Federal Reserve Bank of Richmond, looks back at 2025 and the resilience of the U.S. economy in the face of uncertainty and changes in the economy, including trade policy, consumer sentiment, and labor market demand and supply. He also discusses how monetary policymakers have navigated the year.