Elon Musk warns of recession ahead
Elon Musk, the CEO of Tesla and SpaceX, warned that the US is heading for a recession. Earlier, similar warnings were given by former US President Donald Trump, analysts at Goldman Sachs, and Nouriel Roubini, an economist and professor at New York University.
“A recession is inevitable at some point. As to whether there is a recession in the near term, that is more likely than not,” Musk said.
According to Goldman Sachs, there is a 20-30% probability of a recession in 2023, as well as a 48% cumulative probability in the next two years. “We are increasingly concerned that the Fed will feel compelled to respond forcefully to high headline inflation and consumer inflation expectations if energy prices rise further, even if activity slows sharply,” the report said.
Nouriel Roubini expects the US economy to enter a recession by the end of this year, as indicated by declining consumer confidence, retail sales, manufacturing activity, and housing data amid high inflation.
Earlier, US President Joe Biden downplayed pessimistic outlooks on the US economic growth and called recession avoidable. He stated Americans were “really, really down” after experiencing the COVID-19 pandemic, economic instability, and a sharp hike in gasoline prices over the past two years.
US expects OPEC+ oil production hike after Biden's Middle East trip
The hopes of Americans for an increase in oil output by Saudi Arabia seem to be coming true. The media have described US President Joe Biden's Middle East tour as a failed project until recently, but now news outlets are reporting his success. Thus, The US administration anticipates major oil producers in the OPEC+ alliance to boost crude production following Biden's trip to Saudi Arabia.
13:36 2022-08-05 UTC+00
Real economy essential for US economic growth
Experts believe investments in national companies will become the catalyst for US economic growth. However, analysts are now focusing on the real economy, a part of a country’s economy that produces goods and services.Stock market experts recommend investors monitor both the Fed’s key rate decisions and the development of the US economy.
13:27 2022-08-05 UTC+00
Iraq’s energy minister expects oil to trade above $100 per barrel
Everybody knows that Iraq frequently provides the global community with new forecasts about the future of oil prices. This time, Iraqi Oil Minister Ihsan Abdul Jabbar announced that oil would trade at $100 per barrel. For some people, it is common knowledge since crude has been trading above this level for the better part of the year already. However, for others, it came as a real surprise.
12:34 2022-08-05 UTC+00
Bundestag member claims Germany needs Russian gas
Yevgeny Schmidt, an MP for the Alternative for Germany party, expressed the opinion that Russia would help Germany survive the ongoing energy crisis. The official stressed that gas supplies from Russia would allow Germany to avoid an energy crisis in winter. In addition, the Bundestag member flagged that the Nord Stream 2 pipeline should be launched as soon as possible.
12:29 2022-08-05 UTC+00
Apple to cut back on hiring employees
Tech giant Apple plans to slow hiring and spending in some units in 2023 to cope with a potential economic downturn, Bloomberg reported. Thus, fewer people will have a chance to get hired to work at the legendary corporation. In addition, current Apple employees are likely to face a pay cut.The tech behemoth is always one step ahead of others.
12:12 2022-08-05 UTC+00
iPhone shipments to China surge despite COVID-19 lockdown
Apple revenue soared as the company’s smartphone shipments to China jumped sharply, CNBC reported. The increase came in spite of a COVID-19 lockdown in major Chinese cities.In the second quarter of 2022, the tech giant shipped 9.9 million iPhones to China, up by 25% from the same period in 2021.
05:19 2022-08-05 UTC+00