US RECESSION WATCH — Second Quarter GDP is available in at destructive 0.9%.
Joe Biden on Monday straight up denied the US goes right into a recession. He was fallacious.
“We’re not gonna be in a recession in my opinion,” Biden said rattling off his speaking factors that the US goes to go from “speedy development to regular development.”
The GDP shrank by 1.6 p.c within the first quarter of 2022. The second quart GDP launched as we speak was minue 0.9 p.c.
The historic definition of an financial recession is 2 consecutive quarters of destructive financial development.
CNBC reported:
Whether or not the U.S. skirts recession will principally relaxation within the arms of shoppers, who accounted for 68% of all financial exercise within the first quarter.
Mohamed A. El-Erian is without doubt one of the most revered economists on the scene as we speak.
On Thursday El-Erian responded to the destructive GDP quantity for the second quarter.
Mohamed A. El-Erian: “That is an economic system that’s weakening at a a lot quicker charge than most individuals anticipated… Inflation is just not going to return down quick sufficient given how briskly the economic system is weakening and that’s going to place the Fed in the identical dilemma it’s been in.”
Through Squawk Field.
“That is an economic system that’s weakening at a a lot quicker charge than most individuals anticipated,” says @elerianm on the newest GDP knowledge. “Inflation is just not going to return down quick sufficient given how briskly the economic system is weakening and that’s going to place the Fed in the identical dilemma its been in.” pic.twitter.com/uwBAml3bVq
— Squawk Field (@SquawkCNBC) July 28, 2022
