From President Biden to Elon Musk to Cardi B, many are wondering if or when a recession will occur in the United States.
The stock market officially entered the bear market last week after the S & P 500 recorded the worst week since the early days of the 2020 coronavirus pandemic. This is a Wall Street term that drops more than 20% from its peak. At the highest level in 40 years, interest rates are rising rapidly, showing signs of a chilling economy in retail sales, classified ads and the housing market.
Bear markets are often in recession, even if one does not cause the other. But when investors are sour in stocks, economic concerns are often a major factor.
People like Wall Street and the White House recently talked about the potential recession:
President Biden: “There is nothing inevitable about a recession.”
President Biden said the recession was “UnavoidableIn an interview with the Associated Press last week, he elaborated on Monday in response to a question from a reporter. “I was talking to Larry Summers this morning, and referring to the former Treasury Secretary,” and there is nothing inevitable about the recession, “he said.
Treasury Secretary Janet L. Yellen: “I think a recession is inevitable.”
Treasury Secretary Janet Yellen reiterated the president’s claim that the recession was not “unavoidable” over the weekend. Interview with ABC.. But she added, “I’m hoping the economy will slow down,” and “inflation is unacceptably high.”
Elon Musk: Recession is “more likely than not”
“At some point, a recession is inevitable,” Tesla CEO Elon Musk said on Tuesday. More specifically exterior “I think it’s unlikely that there will be a recession in the short term,” said the Qatar Economic Forum in Bloomberg. He also confirmed that Tesla would dismiss about 10 percent of its office workers.
Goldman Sachs: The risk of a recession is “higher, faster”
Goldman Sachs analysts said in a report on Monday that the potential for a recession is increasing. “We now see the risk of a recession higher and ahead of schedule,” they said, citing high inflation and energy prices. They downgraded their economic growth forecasts, but did not predict that the economy would shrink. They set the chances of a recession next year from 15% to 30% and the chances of a recession over the next two years from 35% to about 50%.
Cardi B: “If everyone wants to announce …”
Grammy award-winning rapper Cardi B asked 23 million Twitter followers this month what they think of the imminent recession. “”When do you think they will announce that we will be in recession? “
