-
Chance of U.S. downturn 30% in next 12 months, a 9 year high
-
Bond giant overseeing $1.7 trillion issues economic outlook
U.S. growth will slow and the risks of a recession climb in 2019 as the near-decade-long economic cycle ages, according to Pacific Investment Management Co.
“The probability of a U.S. recession over the next 12 months has risen to about 30 percent recently and is thus higher than at any point in this nine-year-old expansion,” Pimco economist Joachim Fels and Andrew Balls, global fixed-income chief investment officer, wrote in an outlook released Thursday. “Even so, the models are flashing orange rather than red.”
The note, “Synching Lower,” is based on discussions at a forum this month of economists and portfolio managers to guide investments for the coming six to 12 months. Newport Beach, California-based Pimco manages about $1.7 trillion.
Pimco Chief Investment Officer Dan Ivascyn, in a Bloomberg Radio interview Thursday, warned that next year will be as rocky as this one.
www.bloomberg.com/news/articles/2018-12-13/pimco-sees-flashing-orange-u-s-recession-signal-as-cycle-ages?srnd=premium
Related Posts:
We truly are under attack. We need user support now more than ever! For as little as $10, you can support the IWB directly – and it only takes a minute. Thank you.
288 views
Related Posts: