JPMorgan Raises Global Recession Odds to 60% Amid Trump Tariffs
JPMorgan Chase has escalated its prediction of a global recession to a 60% likelihood, primarily driven by the reintroduction of tariffs by former President Donald Trump. The financial giant's revised forecast reflects growing concerns over the economic stability as global markets react to these policy changes.
The tariffs, described as 'reciprocal' by Trump, aim to address trade imbalances but have sparked fears of a worldwide economic downturn. Analysts at JPMorgan pointed out that the sudden implementation of these tariffs has led to significant market volatility, with investors increasingly wary of the potential impacts on global trade.
Economists are now questioning the timing and extent of price increases that may follow these tariffs. PBS NewsHour provided insights into how soon consumers might feel the pinch, suggesting that price hikes could be imminent depending on the sectors most affected by the tariffs.
CNN and Fortune have also covered the unfolding situation, emphasizing the international ramifications of Trump's tariff strategy. As global markets continue to reel, the focus remains on how governments and businesses will adapt to these new economic challenges.
Detailed
Related issues news
Are tariffs good for the economy?
Durlauf: Part of the argument for tariffs is that they are good for U.S. jobs, with the employment effect being worth the higher prices and harm to consumers. But that's not really how they work. In fact, tariffs are likely to cause negative employment effects because of the way that they ripple through the economy.
Is the USA going into a recession?
A March CNBC Fed Survey put the probability of recession at 36%, up from 23% in January. J.P. Morgan's chief economist put the odds at 40%. You can expect those numbers to rise following Trump's latest tariff announcement.
What does reciprocal tariff mean?
Reciprocal Tariff Policy. It is the policy of the United States to rebalance global trade flows by imposing an additional ad valorem duty on all imports from all trading partners except as otherwise provided herein.
Does China impose tariffs on US goods?
So far, China has either imposed or proposed tariffs on $110 billion of U.S. goods, representing most of its imports of American products.
Latest
Trump Nixes Medicare Coverage for Anti-Obesity Drugs
8 minutes agoCan you Like
