Recession Fears Rise Despite Strong Labor Market

Despite strong job growth under the Biden administration, recent economic indicators, such as the rising unemployment rate and the "Sahm Rule," have fueled recession fears. While some experts, including the creator of the Sahm Rule, believe the current situation doesn`t signify a recession due to the overall healthy economy, investors are reacting with concern, leading to stock market declines. This shift in perspective suggests that the Federal Reserve`s plan to control inflation by raising interest rates might be more difficult than anticipated, potentially leading to a "hard landing" and a possible recession.