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Business Insider: A US Recession Could Hit by Election Time Unless There are Aggressive Interest-rate Cuts, Analyst Says

September 4, 2024
Recession

Article by Filip De Mott in Business Insider

The Federal Reserve needs to be urgent and swift with its interest-rate cuts if it wants to avoid a near-term recession, analyst Barry Knapp told CNBC on Wednesday.

Recent labor trends highlight a possibility that the US could face a downturn in just a few months, the Ironsides Macroeconomics managing partner said. His worry stems from unemployment patterns among small businesses, which are moving in a way that historically signals a looming decline.

"I think that underpinnings of the US economy are really weak,"Knapp said. "It wouldn't shock me if we were in recession by election day."

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