View the Chicagoland Economic Dashboard September 2026 edition here! • September 2026
Chicagoland’s economy: What to know in September 2026
Trending Upwards: Chicagoland’s economy continues to show signs of resilience. Output is projected to reach $999 billion in Q3 2026, up 1.3% QoQ – just at the precipice of the $1 trillion mark. Active job postings in Chicagoland increased 2% between July and August 2026. There were the most unique job postings in Management occupations (28,449), while Business and Financial Operations (17,982 postings) had the strongest growth (+3%). (See more about skills in demand in Chicagoland in the Research Center’s recent research brief). The seasonally unadjusted unemployment rate in the Chicago metro area decreased to 4.9% from 5.3% between June and July 2026.
Trending the Same: Chicago MSA employment remained largely stable from June to July 2026, with a modest 0.1% decline to approximately 4.71 million jobs. The number of unemployed people decreased by approximately 22,700 between June and July 2026, although there are approximately 1,600 more unemployed people than a year ago.
Trending Downwards: Growth capital investment has softened, with Chicagoland startups raising $741.5 million in Q2 2026, down 69% from a year ago (the Bay Area, by contrast, increased investment by 104%). (See more about H1 2026 growth capital funding in Chicagoland in the Research Center’s recent brief). Pro-Chicagoland Decisions are slightly below where they were at this time last year (129 vs. 154). Chicagoland also now ranks 18th among major U.S. metros for new residential housing permits, signaling continued residential development activity – down from 17th just last month.
U.S. Macroeconomic Update:
The U.S. economy added 162,000 jobs in August, well above the average monthly gain of the prior 12 months (+31,000), and the unemployment rate held at 4.1%. Employment increased in food services and drinking places and in local government education, while the information industry lost jobs. Specifically, food services and drinking places rose 59,000, local government education added 42,000 (largely reversing a prior-month decline), and information employment fell 23,000. Revisions added a combined 55,000 jobs back to June and July, with June's initial +20,000 print revised up to +31,000 and July's original -23,000 print revised all the way up to +21,000.
The Federal Reserve has held its benchmark rate at 3.50%–3.75% since the divided 9-3 vote on July 29, with the Committee not scheduled to meet again until later this month. However, in his first Jackson Hole address as chairman on August 28, Kevin Warsh avoided offering forward guidance or a defined reaction function, but struck a notably hawkish tone: "While this summer's [inflation] readings were better than expected, they do not tell me that underlying trends have meaningfully improved," he said, while stating he was "committed to a discipline, not to a decision." July inflation data gave mixed signals — CPI cooled slightly (headline 3.4% y/y, down from 3.5%; core 2.5%, down from 2.6%), but the Fed's preferred PCE gauge came in a touch hotter than expected and held flat at 3.7% headline and 3.3% core, both still well above the 2% target.
Chicagoland’s economy: Key macroeconomic metrics
Output: Chicagoland’s output for Q3 2026 was projected by Moody’s Analytics to be $999 billion, up 1.3% from Q2 2026. All four of the comparison metro areas are also projected to experience a modest increase in output over the previous quarter.
Employment: : According to data released by the Bureau of Labor Statistics, employment for the Chicago metro area decreased by 0.1% to 4.71 million from June 2026. Only LA saw a similar decline in employment. Employment increased again in Kane, Kendall, and Lake Counties between June and July 2026, having also seen increases between May and June.
Unemployment: Chicagoland’s unemployment rate in July 2026 decreased to 4.9%, with similar patterns seen among most regional counties. The unemployment rate in the Chicago metro is lower than LA and Houston. There are ~1,600 more unemployed people in July than there were at this time last year, but ~22,700 fewer unemployed people than last month.
Job Postings: Chicagoland saw 2% declining in active job postings between June and July 2026, to roughly 210,000 – although this is less of a steep decline than between May and June 2026 (-5%). Job postings only decreased in counties bordering Wisconsin – McHenry and Lake Counties. (See more about skills in demand in Chicagoland in the Research Center’s recent research brief)
Pro-Chicagoland Decisions: : In 2026 thus far, there have been 129 Pro-Chicagoland decisions which is slightly below where we were this time last year. This includes 95 expansions and 34 relocations/new market entrants. Of these projects, 72 are regional investments and 57 involve projects within city limits – including 11 South/West Side investments. PCDs are confirmed expansions, relocations, or new market entrants with at least 10 jobs or 10K square feet.
Chicagoland’s economy: Other notable updates
Growth Capital: Chicagoland startups raised $741.5 million in Q2 2026 across 130 deals, down 69% from Q2 2025. Healthcare led the quarter in capital raised, with 39% of disclosed capital raised across 23 deals, and AI & ML continues to be a defining theme, with 24 deals in that space. Top deals include Zarminali Pediatrics ($110M, Series A, healthcare services), Professional Women’s Hockey League ($100M, early stage VC, sports), and Loop ($95M, Series C, fintech). Several investors appeared across deals, including Illinois Ventures, Index Ventures, Hyde Park Venture Partners, GreatPoint Ventures, PEAK6 Strategic Capital, and Altitude Ventures. (See more about H1 2026 growth capital funding in Chicagoland in the Research Center’s recent brief)
Trade: O’Hare International Airport handled $36.0 billion in trade in July 2026, down $3.4 billion from June 2026. O’Hare was the #2 port by value in July 2026 following Port of Laredo with $36.9 billion in trade for July 2026.
ISM Business Barometer: The Business Barometer – a survey of supply chain professionals in the Chicagoland area dropped 10.5 points to 47.1 in August. The Barometer is below the neutral 50 level for the first time since April, and at its lowest since December. The fall was driven by declines in New Orders, Order Backlogs, Production and Supplier Deliveries. A small rise in Employment provided some positive offset. Read report for full details here.
In August, the Business Barometer asked: “In light of ongoing geopolitical tensions, trade uncertainty, and supply chain disruption, how has your organization responded to unexpected increases in material or market costs?” Responses were: 61% “Increased customer pricing,” 43% “Changed suppliers, sourcing strategy, or product mix”, 36% ”Absorbed higher material or market costs,” 25% “Reduced operating costs through productivity or efficiency improvements” 14% “No significant impact
or unknown.”
View the Chicagoland Economic Dashboard September 2026 edition here! • September 2026