U.S. Economy Expected to Enter Recession by Mid-2024, According to Societe Generale’s Subadra Rajappa

by | Dec 17, 2023 | Recession News | 21 comments

U.S. Economy Expected to Enter Recession by Mid-2024, According to Societe Generale’s Subadra Rajappa




Subadra Rajappa, Societe Generale head of U.S. rates strategy, joins ‘Squawk Box’ to discuss latest Treasury yield trajectory, the impact of higher rates on markets, where yields are headed, and more. For access to live and exclusive video from CNBC subscribe to CNBC PRO:

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According to Subadra Rajappa, the Head of U.S. Rates Strategy at Societe Generale, the United States is expected to enter into a recession by the middle of 2024. This prediction has sent shockwaves through the financial world and has raised concerns about the future of the U.S. economy.

Rajappa’s forecast is based on a variety of economic indicators and factors that she believes will contribute to an economic downturn in the coming years. One of the main reasons for her prediction is the potential for the Federal Reserve to increase interest rates in response to rising inflation. This, in turn, could lead to a slowdown in consumer spending and investment, ultimately causing a recession.

Rajappa also points to the ongoing trade tensions between the U.S. and other countries, particularly China, as a potential catalyst for a recession. The uncertainty surrounding trade agreements and tariffs has already had a significant impact on global markets, and if the situation escalates, it could have dire consequences for the U.S. economy.

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Additionally, Rajappa highlights the potential for a housing market correction as another factor that could contribute to a recession. The combination of rising interest rates and high levels of household debt could lead to a sharp decline in the housing market, which would have a ripple effect on the broader economy.

While Rajappa’s prediction is certainly concerning, it’s important to remember that economic forecasts are not set in stone. There are many variables at play, and it’s possible that policy changes or unforeseen events could alter the trajectory of the U.S. economy.

That being said, Rajappa’s warning should serve as a reminder for policymakers and investors to remain vigilant and to take proactive measures to protect against the potential for a recession. This could include reevaluating investment strategies, managing debt levels, and staying informed about economic developments.

Ultimately, only time will tell if Rajappa’s prediction comes to fruition. In the meantime, it’s important for individuals and businesses to stay informed and to be prepared for any potential economic challenges that may lie ahead.

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21 Comments

  1. @kdelete4949

    I do the opposite of mainstream media. For the most part it has worked out for me. When the media says the market is red hot and nothing can stop it, I start taking profits. When they say a recession is coming, I start accumulating good assets.

  2. @John-zp8oi

    Today is sunday dec 3, 2023.
    I used atm card to check my checking acount transaction, i see 1 FRAUD 10/27/23
    $129.39 paid to tmobil.
    I had paid cash only in tmobil store.
    Why your citi bank employees keep stealing my money. This is 3 counts of stealing my money.
    If i DO NOT belongs to your bank, get this over with. How do you want it.
    I had file dispute already. Disputes number: D – 326077031223.
    I will follow up with this again tommorow, make sure your people DO NOT talk RUDES RACIST SCREAMING put word in my mouth, don't let me speak and finish, answer my question got nothing to do with my money questions? If they CAN NOT understand english go back to school.
    Thank for reading my message where ever you are.

  3. @MollieIlamas

    The market has gone berserk! irrespective of experience level, everyone needs a sort of coach at some point to thrive forward.

  4. @philipwong895

    Half of the treasury bonds expire in less than two years. A higher yield will be needed to entice investors to reinvest.

  5. @m.samueljohn2394

    All the money of America is going to India, and America is Blind about it, I will expose everything soon and make America Great Again!!!

  6. @cintroberts6614

    It is going to be a blood bath in 2024. Possibly another great depression.

  7. @cloudyblaze7916

    A significant increase in interest rates by the Fed, and rising Treasury yields all point to additional losses for the economy and the market in general. How can I profit from the present market turbulence because I've lost almost $120K in my portfolio?

  8. @AmeliaBBoi

    After a rally that defied high interest rates and recession calls, stock valuations are now edging toward levels seen before some of the greatest market meltdowns in history – by one measure at least.I've seen folks amass up to $1m amid crisis, and even pull it off easily in a favorable economy. Unequivocally, the bubble/collapse is getting somebody somewhere rich

  9. @MomentoMori769

    Shut up when your guest is speaking

  10. @matturner8

    What are the best strategies to protect my portfolio from a crash? I've heard that the market crash will devastate the financial market, so I'm concerned about my $200k portfolio.

  11. @davidcooper4385

    WE ARE IN A RECESSION JOE BIDEN DAY ONE AKA DORKO.

  12. @tomw485

    1:34 WTF is he talking about? Higher interest rates don’t fuel inflation. They do exactly the opposite. Higher interest rates make borrowing costs higher which lowers the price of goods. In other words if I have to pay a higher interest rate on a loan that increases my monthly payment which lowers the amount of money I can borrow which ultimately lowers the price of that house or car that I can afford to buy.

  13. @finalmatrix

    Yield curve inverted in June, 2022. I forecast recession starting around April, 2024.

  14. @GeorgeKafantaris

    The economy is doing fine with thousands of jobs on their way from the infrastructure projects alone. And wars do boost business activity — the Ukraine war being on point. As for Israel’s war, that will soon fizzle — running out of goodwill.

  15. @MichaelBrenner-sj7nz

    Bloomberg and other finance media have been documenting stories of people making over $250k from the stock market in a couple months during market crash. how do I achieve this?

  16. @trentp8035

    These interviews are 6 months late lmao.

  17. @trentp8035

    Usually the rich suffer worst in depressions, I hope this one hurts them so much their great grandchildren are in debt when they come out of the womb.

  18. @mountainman9145

    Government reigning in spending – dream on. Debt ceilings will be pushed back, not because they can, however because they have to.

  19. @John-zp8oi

    hey jane frazer, i have not check my citi bank account for 5 days now at your citi bank or mexican vp gg city act owner. are all of my usa dollar still there or STOLEN already? am i DUMP FAIL to have my fdic insure with you? or you FAIL DUMP ceo jane frazer?

  20. @docoolstuff8732

    Life has been garbage since fjb. Gunna be worse since he thinks our borders should be open. Why is jb still alive

  21. @heathreeves6327

    The economy has basically been in a recession since Clueless Joe Biden took office. Plus, Jerome Powell is extremely incompetent

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