The prophets of doom and gloom keep predicting grim scenarios for the US economy. For instance, they are constantly making predictions about the imminent recession. However, this is one thing when such forecasts are made by various analysts but the other one when Fed Chairman Jerome Powell admitted such a possibility.
He reckons that the US could face a recession. Powell voiced his concerns in an interview with Forbes. He stressed that a mild recession is likely this year. "Avoiding a recession is, in my view, more likely than having a recession. But I don’t rule that out either. It’s possible that we have a mild recession."
The Fed has raised its benchmark rate to the range of 5-5.25%, the highest level since 2006. Given that the US is the world's largest economy, a recession in this country will be disastrous for the commodity, stock, and financial markets. It will inevitably have a negative impact on other industries.