It’s Official — The Recession has begun.
Opinion by Gerard Rotonda.
GDP fell 0.9% in Q2, and 1.6% in Q1. Two consecutive quarters of negative economic growth. The U.S. recession has begun. Now will the team of eight economists officially pronounce it? They usually wait until after a recession has begun to officially pronounce it. Inflation is greater than 4 times the Fed’s 2% target, the 2y10y Treasury yield curve remains inverted, hiring is frozen, borrowing cost higher and investments will slow. Industrial production also fell in June as well as personal consumption. Of particular note is that since WWII, every recession has also had a loss in employment; however, unemployment rate has fallen to 3.6% and jobs have been added. Is this a “Growth Recession” or something larger. #recession
