The latest jobs report from private payroll firm ADP shows the labor market remains resilient. Also, Bank of America now says a soft landing for the economy is likely with a recession being avoided. But the optimism comes as the credit rating agency Fitch downgraded the U.S. credit rating from AAA to AA+. NBC News’ Tom Costello breaks down why and what it means for Americans.
» Subscribe to NBC News:
» Watch more NBC video:
NBC News Digital is a collection of innovative and powerful news brands that deliver compelling, diverse and engaging news stories. NBC News Digital features NBCNews.com, MSNBC.com, TODAY.com, Nightly News, Meet the Press, Dateline, and the existing apps and digital extensions of these respective properties. We deliver the best in breaking news, live video coverage, original journalism and segments from your favorite NBC News Shows.
Connect with NBC News Online!
NBC News App:
Breaking News Alerts:
Visit NBCNews.Com:
Find NBC News on Facebook:
Follow NBC News on Twitter:
Get more of NBC News delivered to your inbox: nbcnews.com/newsletters
#NBCNews #Economy #CreditRating…(read more)
BREAKING: Recession News
LEARN MORE ABOUT: Bank Failures
REVEALED: Best Investment During Inflation
HOW TO INVEST IN GOLD: Gold IRA Investing
Recession fears easing as dueling economic narratives take hold
The global economy has been at the forefront of many minds as fears of a recession have loomed over the past few months. However, recent events have seen a shift in the narrative surrounding the economy, with dueling perspectives emerging that paint a more optimistic picture.
On one hand, there are those who remain cautious, highlighting the slower growth experienced by major economies such as the United States and China. The ongoing trade tensions between the two powerhouses have certainly had an impact, affecting investor confidence and slowing down business activity. In addition, uncertainties surrounding Brexit negotiations have also played a role in dampening economic growth, particularly in Europe.
These factors have understandably raised concerns about a potential recession, as indicators such as declining manufacturing data and weakening consumer sentiment have given some analysts cause for worry. Many fear that a global economic slowdown could be on the horizon.
However, there is another narrative taking hold that offers a contrasting viewpoint. This perspective argues that while there may be challenges ahead, the current economic environment is far from a recessionary one. Proponents of this view point to several factors that suggest a more positive outlook.
Firstly, despite slower growth, major economies such as the United States continue to expand. The unemployment rate remains low, and wages are gradually increasing. This suggests that the fundamentals of the economy are still strong and that consumer spending is likely to remain solid.
Furthermore, central banks around the world have taken proactive measures to support their economies. Lower interest rates and additional monetary stimulus have been implemented in an effort to boost growth. These actions have thus far proven effective in steadying markets and promoting economic activity.
Additionally, recent trade developments have shown signs of progress. The United States and China have recently reached a preliminary trade agreement, providing some relief to businesses and investors. While uncertainties remain and a comprehensive deal has yet to be reached, the positive momentum offers hope for a resolution to the trade dispute, which could have a significant positive impact on global economic prospects.
It is important to recognize that while these dueling narratives exist, there are both risks and opportunities in the current economic climate. Economic forecasts are never foolproof, and uncertainties can quickly change the trajectory of the global economy.
Ultimately, the outcome will depend on a variety of factors such as trade negotiations, geopolitical events, and policy decisions. It is crucial to acknowledge the potential risks that lay ahead while also considering the positive aspects that could lead to economic resilience.
As the battle of economic narratives continues, it is essential for policymakers, businesses, and individuals to stay informed and prepared for any potential changes. By monitoring trends, adapting strategies, and remaining nimble, it is possible to navigate the economic landscape and mitigate potential risks, regardless of which narrative ultimately prevails.
If the wealthy would quit scamming more ways to put more money in their pockets and clean up their mess start cleaning up all the problems that you have created and help everyone else the whole world would be better off and it also shows the world your level of stupidity
I used to think every investor lose out during recession, meanwhile some make millions. I also thought everybody went out of business during the Great Depression, but some went into business. Bottom line, there's always depression for some, and profit for others, it all starts from having the right mindset. That said, I've set asides $250k to invest for future, unfortunately I'm a complete noob.
Most likely, something external caused this recession. The United States is losing its influence as a government reserve currency for the first time in decades. They don't have any more economies to utilize to control inflation, and less money is being invested in stock and oil trading than in the past. They all provide evidence in favor of the hypothesis that a new multilateral international order is in development.
The credit downgrade is not a narrative a bunch of part time low paying jobs is a narrative
Thanks, bud for keeping us financially educated! Regardless of how bad it gets on the economy, I still make over $20,000 every single week
Some economists have projected that both the U.S. and parts of Europe could slip into a recession for a portion of 2023. A global recession, defined as a contraction in annual global per capita income, is more rare because China and emerging markets often grow faster than more developed economies. Essentially the world economy is considered to be in recession if economic growth falls behind population growth…
The guy who wrecked the room is still running for president!
Who are we borrowing money from ? Congress as the ability to make debt free money but we don’t .
Recession fears mount on Wall Street and inflation remains well above the Fed's 2% target, some of the top commentators in markets, business, and economics have been sounding off on just how bad they think the next downturn might be — and how far stocks may have to fall. I need ideas and advice on what investments to make to set myself up for retirement, my goal is to have a portfolio of at least $850k at the age of 60.
Good job dramacrats. You earned this one. You got hit on your 401k when Biden was elected, now you get hit again. As kamala said, "help has arrived." Dramacrats so naive they never learn and are willing to pay higher cost of living.
It's as if people forget what happened during the pandemic. Thousands of businesses closed and will never reopen again. It will take time before everything evens out. It could take a couple more years
Fake news.
Yesterday, a major trucking company laid off over 30,000 people, and now they are saying the economy is good? Huh?
The economy is in a shambles because the Pentagon takes all the money
The media is almost completely to blame for the political polarization that contributed to this downgrade
I believe our president, Joe Biden will guide us through the end of the tunnel in an amazing way! That's why I voted for him and will vote again in 2024.
Receding inflation? I haven’t seen it in the grocery store, except in egg prices.
corporate america , nothing else matters
30,000 Truckers Out of Work—-Thank you, Joe Biden.
Kinda funny two of the biggest trucking companies just went under banks closing democrats have every News outlet lying out there a"" this economy is in the toilet inflation is high groceries and gas still cost three times as much as they did under Trump.
Biden sucks!!!!!!
Bidenomics for you
credit rating says it all
The GOP extremist trying to destroy our democracy are the main cause for the lowering of the credit rating…. If it is true that every man is created equal, then our justice system better start putting the enemies of democracy behind bars!!
If Bidenomics means taking a bunch of money from China and putting it in your pocket, we doin real good.
Trumps fault
Get Biden out
Fitch should cite the House Republicans for political dysfunction.
I honestly think that the United States should hold the Goodwill games for the athletes of the United States and any of our allies I inherited an Empire and I don't want the athletes from the Nations within the Empire of Aztec to compete at the Olympics I'd much rather they went to the Goodwill game so that they don't fraternize the Olympics are going to be held in France in 2024 and we're at war with Russia