Signs of recession?
- Article published in Daily Mail newspaper
JPMorgan Chase CEO Daniel Pinto stated ‘a deeper recession is compromise for putting 40 year high inflation back in the box”- “We are dealing with a market that is pricing the probability of recession and how deep it is going to be”
- “I don’t think we have seen the bottom of the market yet”
- Goldman Sachs CEO David Solomon agreed that “US is facing recession after inflation has hit a 40 year high”
- Intel Corp. CEO Pat Gelsinger stated; “It is hard to see any points of good news on the horizon”
- Announced $3 billion in cost reductions in 2023 including layoff
- Inflation data published by the U.S. Bureau of Labor Statistics:
- Groceries are up 13.5
- Rent is up 6.7%
- Gasoline is up 25.6%
- Airline fares are up 33.4%
- New vehicles are up 10.1%
- Electricity is up 15.8%
- CNBC Economics Editor Jeff Cox stated; “if you took out the unsustainably high rise in exports, the 3rd quarter GDP would have been negative”
- “most economists believe that by early or mid 2023, we will, in fact, be in a recession”
- “Other areas of concern are that we say a dropoff in consumer spending, the pact of increase there falling, of course, as prices continue to rise”
- US Census Bureau reported that about 100 million Americans were NOT working in early October, of 2022
- Almost half of the respondents are now retired
- 12% were either sick from illness (not COVID-19) or disabled
- 5.6 million claim they are not working because of COVID-19
- 6.8 million do not want to be employed
- 1.2 million claim they cannot get a job due to lack of transportation
- 32 million who are not working are relying on withdrawing from savings accounts or retirement accounts, or are selling assets
- 26 million are using credit cards or personal loans
- 12 million are using family or friends to pay their bills
- 20 million are relying on state and/or fed programs