Analysts: Recession Likely
The stalling economy - capped by bad jobs numbers released yesterday, has the pundits darkening their outlook. John Browne of Euro Pacific Capital, in a conversation with Larry McDonald of Newedge Group, says we're heading for recession.
QE is just camouflaging the real recession... it's hiding it really... He's the man (Bernanke) responsible for the recession.
Browne and McDonald are not alone.
Dan Greenhaus, chief global strategist at BTIG LLC, said the worse-than-expected May jobs numbers had caused him to rethink his position on a second U.S. recession. Some encouraging news earlier this year – not least three straight months of 200,000 or more jobs added between December and February – led him to back away from an earlier prediction of a return to recession.
Now the strategist is rethinking his rethinking.
“Today’s employment report, in the context of every other development, certainly reintroduces (the possibility of another recession),” Greenhaus said.
Analysts had predicted an increase of 150,000 jobs last month. The wide disparity, a clear indication that the job growth engine has stalled, left economists almost universally predicting more action from the Fed.