Bursa Alert
Global Market
NewsChances of US going into recession at 30%
Page 1 of 1
Chances of US going into recession at 30%
by hlk Wed 22 Jun 2011, 15:24
KUALA LUMPUR: There is a 30% chance of the US going into a recession due to slowdown in spending, HSBC’s chief US economist Kevin Logan warned.
"Falling house prices is a burden for the household sector. That in itself is not likely to create a recession. "But now that (higher) gasoline price adds another complication as it adds another blow to the household sector, as it siphons away income," he said on Wednesday, June 22
Logan also said that it is unlikely for the US to implement a quantitative easing (QE3) due to inflationary pressures, smaller “pay off” and risks to the US Federal Reserve's balance sheet.
"Falling house prices is a burden for the household sector. That in itself is not likely to create a recession. "But now that (higher) gasoline price adds another complication as it adds another blow to the household sector, as it siphons away income," he said on Wednesday, June 22
Logan also said that it is unlikely for the US to implement a quantitative easing (QE3) due to inflationary pressures, smaller “pay off” and risks to the US Federal Reserve's balance sheet.
hlk- Moderator
- Posts : 19013 Credits : 45112 Reputation : 1120
Join date : 2009-11-14
Location : Malaysia
Similar topics» OSK Research: No recession in US as yet
» US to avoid recession?
» Was possible US recession exaggerated?
» Japan likely to go into recession
» Singapore says global recession more likely than not
» US to avoid recession?
» Was possible US recession exaggerated?
» Japan likely to go into recession
» Singapore says global recession more likely than not
Page 1 of 1
Permissions in this forum:
You cannot reply to topics in this forum|
|
|