Recession Looms: Experts Predict Economic Downturn for US
Wall Street analysts predict that the US economy will slip into a recession in Q2 2023 and last for three quarters, with no rate cuts expected from the Fed during the recession. The S&P 500 is expected to experience a selloff due to the contraction of the PE ratio and downside revisions of corporate earnings. The stock market performance this year is driven by short-covering, according to Goldman Sachs. The near-term recession will have to be confirmed with data, and the earnings season will have to support the expected decline in earnings. All recessions end with policy support, but this time, the monetary policy support is limited by sticky inflation and political divide.
- S&P 500: The Recession Expected To Start Next Week (NYSEARCA:SPY) Seeking Alpha
- David Rosenberg says a recession has already hit US corporate profits Markets Insider
- U.S. will 'enter a recession in the third quarter of 2023,' economist says Yahoo Finance
- Is a Recession Coming? Fed's Interest Rate Hikes, Banking Crisis Up the Odds Bloomberg
- A key recession indicator suggests the Fed may slash rates soon Yahoo! Voices
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