Bank of America CEO predicts a recession in the US economy in the second half of this year: unemployment rate will rise to a high of 4%. Federal Reserve | US | Economy
Screenshots of American media reports
On June 5th, according to a report by CBS on the 4th, Bank of America CEO Moynihan stated that the US economy may face a mild recession in the second half of this year and the first quarter of next year.
Moynihan stated on the CBS program "Facing the People" that the bank's core forecast is that the US economy will enter a mild recession in the third and fourth quarters of this year or the first quarter of next year, and the unemployment rate will rise to a high of 4%. Moynihan stated that due to the Federal Reserve's tightening of monetary policy, consumer spending in the US banking industry has only increased by about 5% so far this year, and consumer spending is slowing down and keeping pace with the inflation rate controlled by the Federal Reserve. Meanwhile, Moynihan criticized the Federal Reserve for tightening monetary policy, which led to consecutive bank failures and slowed down the economy.
The minutes of the Federal Reserve's policy meeting in March show that policymakers expect the United States to experience a "mild recession" later this year, which may take two years to overcome the economic downturn. In the past year, the Federal Reserve has been taking very aggressive interest rate hikes in an attempt to reduce inflation, leading to a tightening of capital inflows and monetary policy. Affected by it, investors are closely monitoring the US economy, fearing that it will quickly slide towards recession.
Copyright works from overseas websites are not allowed to be reproduced without authorization.
