One major cluster of data shows the U.S. economy is doing well despite concerns of a potential recession.
A slew of weak economic data last week fueled fears of a recession, but Goldman Sachs said Monday the U.S. is still not close to a downturn.
It’s trade policy, not Fed policy, that’s slowing economic growth, Loretta Mester, president and CEO of the Federal Reserve Bank of Cleveland, told CNBC on Friday.
“It is not in the baseline to have a recession,” Lagarde said in a Bloomberg Television interview on Tuesday. “That said, it’s mediocre growth, it’s at risk because of essentially one major threat, which is the trade war that we see developing or brewing and the uncertainty it generates for investors.”
Federal Reserve Chairman Jerome Powell said Friday the central bank’s pivot this year to lower interest rates has helped sustain U.S. economic growth.
Markets will rally for the rest of the year, according to J.P. Morgan.
Target CEO Brian Cornell still thinks the U.S. consumer is strong and spending, despite fears that some shoppers may be pulling back with the threat of another economic recession looming.
Bank of America CEO Brian Moynihan is not worried about a potential U.S. economic slowdown, saying the American consumer is still in a strong place and can keep the economy growing.
Amid rising fears of a recession, Domino’s Pizza CEO Ritch Allison said Tuesday that the U.S. consumer is still strong.
Former Federal Reserve Chair Janet Yellen said the markets may be wrong this time in trusting the yield curve inversion as a recession indicator.