RE: Blow15 Jun 2022 12:26
Nahhh not a chance, we're just at the tip of the iceberg with this recession, 5 + years of QE and insane borrowing during the pandemic......going to see an implosion of the economy
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lol....now that is a statement. Not even the most competent economists have a definite clue on where inflation and the economies are going next, and you get people coming out with this?????
You got to love investment boards....
Recession??? What recession. In Italy seaside resorts are fully booked for summer holiday at £ 30 per day 2 sun chairs and one umbrella. People are crowding airports and is difficult to find personnel, job market is tight etc.
In my modest view, high prices will be easily passed to consumer because of wages rise and low unemployment, you may get a bear marker but no recession, especially if Covid19 is under control obviously.
On the rise of interest, main cause imv is geopolitics and supply chain disruption due to covid and also because some big suppliers play the game....
Mainly is energy inflation, look at other commodities like iron, reaching peaks post covid and then coming down due to China policies intervention, or fundamentals....
Energy is different and possibly will be the one sticky inflation that can't be controlled.....
Too many players like high energy prices including USA.
Rate rise will please banks, high energy prices will increase profits on oil/gas exports (gas to Europe?) The Arabs can keep buying US debit with the massive profit from oil, and in the end in US energy still cost half the price we pay in Europe.
Can't see USA going in to recession.