#Binance
WARNING: Risk of recession and stagflation in the US is higher, says survey from #JPMorgan !📝📊📄📈😎🤔
There is a much greater risk of stagflation than of recession in the economy of the United States over the next year, according to the results of a survey by JPMorgan with investors published this Friday.
The trade war initiated by the US government under Donald Trump is seen by most as the policy with the most negative impact on the largest economy in the world.
Three out of five respondents by the bank believe that US economic growth will stagnate and that inflation will remain above the Federal Reserve's 2% target, with one in five respondents expecting inflation above 3.5%.
There is also consensus on the weakness of the dollar, with most expecting the euro to be at least $1.11 by the end of the year, a decline of at least 8% for the US currency.
“Our meetings were notable for the differences of opinion between American investors compared to global investors regarding the market consequences and implications of the regime change in the US,” said JPMorgan.
The survey states that the investors consulted by the bank expect money to remain expensive, as yields on US ten-year bonds are not expected to fall much from current levels. More than half of the respondents believe that the benchmark yield will be at least 4.25% by the end of 2025.
Almost half of the respondents expect Brent oil prices to stabilize not far from the current price of $66 per barrel, while three out of ten foresee prices falling to at least $60.#EUA #TRUMP