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446611 |
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Date: March 04, 2025 at 17:48:33
From: The Hierophant, [DNS_Address]
Subject: Heading to worse than a recession |
URL: https://www.msn.com/en-us/money/markets/warning-us-economy-could-be-headed-toward-outcome-worse-than-a-recession/ar-AA1AfTvp?ocid=hpmsn&cvid=ce9940bbf3154898d7cf5e7734c7808a&ei=14 |
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must be every magger's dream - but unfortunately, all
those who aren't maggers will suffer as well...And I
can't wait until all the maggers start whining that
they can't afford even a box of cereal which will
probably now be heading to over $10/box, let alone non-
seasonal fresh fruits and veggies and forget about
eggs, dairy and meat, gas and utilities. Things WILL
cost more in a shorter period of time; people will buy
less, more people will be laid off and businesses will
close (after barely coming back post Covid). People
won't be able to keep up mortgage payments or credit
card payments.and they will probably STILL blame Biden,
when in fact, their clueless orange dayglo leader did
this to us all.
"Warning US economy could be headed toward outcome
worse than a recession
As President Donald Trump's tariffs take effect, fears
are growing that the US economy is headed toward an
outcome which is widely considered to be worse than a
recession.
Economists are becoming increasingly concerned that
'stagflation' could be rearing its ugly head for the
first time in 50 years.
Stagflation is the combination of economic stag-nation
and in-flation. Prices continue to soar at the same
time as economic growth slows and unemployment rises.
Economists consider stagflation, which was last seen in
the US in the 1970s, to be worse than a recession.
In a recession, unemployment goes up and the economy
shrinks - but the silver lining is that there is little
or no inflation.
The dual threat of higher prices as a result of
tariffs, as well as multiple indicators which are
pointing to a pullback in economic activity, are
causing angst among consumers, business leaders and
policymakers, CNBC reported.
On Tuesday, Wall Street fell in the red as a trade war
between the US and its top trading partners rattled
investors.
'Directionally, it is stagflation,' Mark Zandi, chief
economist at Moody's Analytics, told CNBC. 'It's higher
inflation and weaker economic growth that is the result
of policy - tariff policy and immigration policy.'
The dreaded phenomenon has primarily manifested itself
in 'soft' economic data and sentiment surveys in recent
weeks, the outlet reported.
Among consumers, long-term inflation expectations are
at their highest level in almost 30 years.
The annual rate of inflation rose to 3 percent in the
year to January - higher than the Federal Reserve's 2
percent target.
Consumer spending also fell in January by the most in
almost four years, despite incomes rising.
On Monday, manufacturing data showed that factory
activity barely expanded last month, while new orders
fell by the most in nearly five years.
This prompted the Atlanta Federal Reserve to project
GDP to shrink by 2.8 percent in the first quarter of
2025.
If this holds up, it would mark the first time economic
growth has decreased since 2022, and the worst plunge
since the first Covid-19 shutdown in early 2020.
'Inflation expectations are up. People are nervous and
uncertain about growth,' Zandi told CNBC.
'Directionally, we're moving toward stagflation, but
we're not going to get anywhere close to the
stagflation we had in the '70s and the '80s because the
Fed won't allow it.''
Currently, markets are pricing in a 50 percent chance
the Fed will cut interest rates starting in June,
according to the CME Fedwatch tool.
But Zandi thinks there is a chance the central bank
will raise rates to curb inflation.
This volatility is sparking a sell-off on Wall Street,
with stocks erasing much of the gains made since Trump
won the presidential election in November.
The Dow Jones Industrial Average dropped 1.5 percent by
the end of trading on Tuesday, building on Monday's
plunge.
The S&P 500 fell 1.2 percent, while the tech-heavy
Nasdaq shed 0.3 percent. The Nasdaq flirted with
correction territory during the session, which is when
an index falls 10 percent from a recent high.
But some economists are warning now is not the time to
panic.
Mark Hackett, chief market strategist at Nationwide,
told CNBC: 'At this point, I'm still in the camp that
this is a healthy resetting of expectations.'
He did admit, however, that stagflation 'certainly is
something to pay attention to now, more than it's been
in a while.'
Trump has long argued that tariffs will increase
national revenue and galvanize domestic manufacturing."
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[446632] [446646] [446657] [446643] [446647] |
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446632 |
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Date: March 05, 2025 at 08:36:53
From: Redhart, [DNS_Address]
Subject: Re: Heading to worse than a recession |
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Crashes can happen very fast.
My father told the story of being 5 yrs old when the
1929 economic crash happened. His memories were fuzzy,
of course, as one's are at 5 yrs old. But, he
remembered living in a mansion and having a nanny,
servants, etc. He doesn't know what his birth father
did and barely remembers him at all.
By the time he was 6yrs old, all of that was gone. His
mother and he were alone..his father gone, and he had
to sell newspapers on a corner. He didn't remember what
happened to his father if there was a suicide or death,
but everything was gone and instead of a mansion, they
lived in a tenement building.
When it happens, it happens very fast and millions of
lives are changed overnight.
The epilog is that his mother remarried and the 2nd
husband adopted my father legally..the family carries
his name now. Dad and his mom got out of the tenements
and lived a modest life after that (no servants..just
working class) until he left home and joined the navy
in WWII.
These stories in my family outline how the unthinkable
can happen very quickly. FDR initiated many new
policies in the New Deal that stabilized this country's
economics for a century.
Trump wants to return to the days prior to the New Deal
and FDR with the wild swings and dips that outlined the
late 19th and early 20th century. This is a very bad
idea.
Those who don't understand history are failed to repeat
it.
My father is now gone, rest his soul, but my mother is
still with us and in her 90s now. She remembers the
great depression, WWII and FDR and the hard life it was
on her side of the family before and after the New
Deal. Just talked to her about it the other day. She
expressed how afraid she is about what is going on
today, because she remembers.
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[446646] [446657] [446643] [446647] |
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446646 |
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Date: March 05, 2025 at 11:39:13
From: shadow, [DNS_Address]
Subject: Re: Heading to worse than a recession |
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Wow, bless her heart, Red…how wrong it is, that anyone who lived
through the Depression is having to watch these patterns repeat…
My mom was ten in 1929, the youngest of eight and the only one to finish
high school, as all her older siblings had to find whatever work they could
for the family in the thirties… I remember stories of my grandmother
baking enough bread for those who had none, the oven going all the
time…
The family’s financial situation only improved to just past survival, for the
most part, in subsequent years… Having to be very creative with cheap
cooking ideas stayed deeply ingrained in my mom’s psyche and really re-
emerged spectacularly when her dementia dug in… She would tell anyone
who’d listen about this or that recipe for elaborating upon varieties of
Hamburger Helper, or how to make apple and banana salad with
watered-down Miracle Whip, or her version of ham salad by grinding up
bologna, pickle relish and…more Miracle Whip… ;)
One of her brothers, an identical twin, moved himself, his wife and their
two kids to CA, trying to find better work and, when effort after effort
failed, he took his own life…
So much senseless tragedy in the lives of precious everyday souls, all so
that the biggest moneygrabbers can feel validated in their imagined
superiority…
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[446657] |
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446657 |
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Date: March 05, 2025 at 15:39:32
From: Redhart, [DNS_Address]
Subject: Re: Heading to worse than a recession |
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It's sad we've lost so many from this generation now,
the ones who were there and experienced the history
first hand.
And what happens is other entities take advantage of
that and seek to "rewrite" that history with no one to
stand witness and remind of of the lessons first hand.
For those of us that had (or still have) parents and
family who were there, we need to try extra hard to
amplify their stories to warn the next generations of
what history already taught us, and who others attempt
to rewrite for their own agendas.
Thank you for your stories, shadow.
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446643 |
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Date: March 05, 2025 at 10:53:58
From: ryan, [DNS_Address]
Subject: Re: Heading to worse than a recession |
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my parents went through it also...it affected my dad a lot...as someone who had experienced it, he would fly into a rage if you didn't clean your plate...
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Responses:
[446647] |
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446647 |
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Date: March 05, 2025 at 11:41:03
From: shadow, [DNS_Address]
Subject: Re: Heading to worse than a recession |
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Yeah, I got that too…I wonder how many of us who had parents who went
through that didn’t…
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