Goldman cuts probability of US economy entering recession from 35% to 25% in the next year | Forexlive

Goldman Sachs has cut its probability of a US recession to 25% from 35%. That is less than half the 65% consensus from the latest Wall Street Journal survey.

The cut comes after the better-than-expected jobs data on Friday.

It is still unsure if the US is heading into a soft landing scenario, or a scenario where growth picks up and with it inflation and potentially inflation expectations? That is what the Fed is guarding against.

Meanwhile US stocks are waffling back and forth but in a negative territory. The S&P index fell to a low of 4093.38. That took the price below the 4100 level. However the price has since rebounded back up to 4111. That’s down -25.5 points or -0.62%.

The NASDAQ index is down -85 points or -0.71% at 11921.73.