UBS Predicts 93% Risk of US Recession,Anticipates Stagflation
The prospects of a U.S. economic downturn are rising sharply. According to UBS, a Swiss investment giant, the risk of recession stands at a staggering 93%. Yet, contrary to dire predictions, analysts suggest a “soft landing.”
This conclusion stems from hard data like income and job stats. UBS foresees not a crash but a stagflation phase—a blend of inflation and economic standstill reminiscent of the ’70s.
The factors fueling these concerns are myriad:
- A dwindling job market
- Falling building permits
- Shrinking GDP
- Weakening consumer spending
Moreover,the inverted yield curve continues its ascent through 2025,putting unprecedented pressure on credit markets.
UBS analysts insist the economy isn’t on the verge of collapse.Instead, they envisage a gradual slide into sluggish growth. The upcoming year might see slight improvements.
Others, tho, speculate or else. Moody’s economist Mark Zandi claims the nation teeters on a recession edge. He flags plummeting building permits as a critical warning signal.
Many on X echo Zandi’s concerns,arguing that the recession has already set in. They point to soaring prices as evidence of a troubled economy.
Amidst the gloom, some remain skeptical: “We’ve been hearing about the incoming recession for years,” says one critic.
