Elon Musk Hints Of “Severe Recession” Ahead If Fed Fails To Do This
The global financial market is under tremendous pressure in the expectation of the U.S. Federal Reserve System increasing interest rates. However, the world’s richest man, Elon Musk has suggested some measures in order to avoid the probable recession.
Elon Musk suggests this measure to avoid recession
Vincentyu, a Tesla investor highlighted that he expects a real economic recession in 2023. He asked the people to be prepared for any macro storm ahead.
To this Elon Musk said that this trend is concerning. It is important that Fed needs to cut interest rates immediately. He added that by not doing this Fed is massively amplifying the probability of a severe recession ahead.
Sven Henrich, Macro and Technical Analyst highlighted that ironically the fed continues to project positive GDP growth for the years ahead. It is ignoring all the obvious signs that they did the same in 2008. He added that in panic they always cut rate but the recession impact is already here.
Is too late now?
The analyst mentioned that the Fed has stayed too easy for too long now. This is totally misreading inflation and as of now, they have tightened aggressively into the highest debt construct ever. This is done without even accounting for the lag effects of these rate hikes risking.
Elon Musk agreed with this comment about the current situation of the global economy. However, this comment has ahead of the Fed Chair Jerome Powell at a US event on the outlook for the economy.
- Standard Chartered Predicts Bitcoin Could Drop Below $100K Amid U.S.–China Trade Tensions
- Rising Demand for Verifiable Crypto Ownership Drives Launch of Trezor Safe 7
- Robinhood Lists Binance Coin as BNB Outperforms BTC, ETH, SOL YTD By Over 30%
- Bitget Partners With Google Developer Group On Hackathon To Support AI Innovation
- Can Cardano Save Kadena? Hoskinson Reaches Out After KDA Token Plunges 60% Amid Shutdown
- XRP Price Classical Pattern Points to a Rebound as XRPR ETF Hits $100M Milestone
- Chainlink Price Eyes $27 Rebound as Whales Accumulate 54M LINK
- Pi Network Price Wedge Signals a Rebound as Key Upgrades Raise Utility Hopes
- Solana Price Eyes $240 Recovery as Gemini Launches SOL-Reward Credit Card
- XRP Price Prediction Amid Evernorth’s $1B XRP Treasury Plan – Can XRP Hit $5?
- Ethereum Price Targets $8K Amid John Bollinger’s ‘W’ Bottom Signal and VanEck Staked ETF Filing
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
