Recession Fears Rise Despite Strong Economy

Despite strong job growth under the Biden administration, recent economic data has sparked recession fears. While not technically in a recession, the unemployment rate is rising, triggering the historically accurate "Sahm Rule" recession predictor. However, even the rule`s creator believes the current strong economy, though showing some negative trends, is not in a recession. This economic uncertainty has negatively impacted investors, causing stock market declines. The positive narrative of decreasing inflation alongside strong job growth has shifted, raising concerns that the Federal Reserve`s interest rate hikes might be too late, potentially causing a recession.