Economists Put Recession Odds at 40%

Economists have recently updated their U.S. recession predictions, now estimating only a 40% chance, thanks to anticipated robust job market performance and solid consumer spending. This optimism is reflected in the revised economic growth forecast, which has been adjusted to a 2.1% annualized rate for this year, a significant increase from last month’s 1.5% projection. This uptick is attributed to expected increases in household demand and government expenditure. Furthermore, consumer spending, a critical engine of the economy making up two-thirds of the GDP, is projected to rise by nearly 0.5% more than previously thought in the coming two years.