Goldman Sachs stated that the USA’s recession risk increased.
Goldman Sachs has joined the list of institutions that have voiced their concerns about the recession in the USA. The bank stated that the probability of the US going into recession next year is 30 percent. The bank previously stated that this probability is 15 percent. Bank economists said that if a recession can be avoided in the first year, the probability of a recession in the second year is 25 percent.
While maintaining its second-quarter growth for the US economy at 2.8 percent, Goldman Sachs lowered its growth expectation for the third quarter to 1.75 percent.
While recession concerns are increasing in Wall Street institutions in the USA, the management states that recession can be prevented. While US Treasury Secretary Janet Yellen gave optimistic messages about inflation, she also supported US President Joe Biden’s views on recession.
