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This recession is going to play out differently than expected. Certain parts of the economy seem to be doing well, whereas others, such as the property market,
by oxfordmale 4y ago
This recession is going to play out differently than expected. Certain parts of the economy seem to be doing well, whereas others, such as the property market, show signs of recession. As a result, it does appear there will be a very shallow recession overall.
- baby-yoda 4y agoIMO we'll see sectors fall and start to recover at varying times and its going to be difficult to assess the economy in aggregate. Rates will continue to bleed out non-productive companies but large zombies might be able to survive. An additional rate hike in July is now close to consensus so I think behind closed doors the Fed and others are very concerned about large bankruptcies and contagion - using rates more aggressively to accelerate the burn might help to level things out.
- mcphage 4y ago> whereas others, such as the property market, show signs of recession I'm not even sure the article supports that much: > But recently, signs of an early and largely unexpected rebound have emerged, prompting concerns that higher rates are not having the desired effect. New-home sales jumped in January to a ten-month high. Surveys gauging the confidence of both homebuilders and homebuyers have improved. America’s property companies have reported more visitors to their show homes. “We have seen the momentum build week after week,” notes Sheryl Palmer, chief executive of Taylor Morrison, one of the country’s biggest homebuilders. It seems more like the property market is doing unexpectedly well.