{"id":1506593,"date":"2022-06-07T13:19:39","date_gmt":"2022-06-07T17:19:39","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1506593"},"modified":"2022-06-07T13:19:43","modified_gmt":"2022-06-07T17:19:43","slug":"sharpest-slowdown-in-80-years-world-bank-releases-ominous-news-about-recession-risk","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/sharpest-slowdown-in-80-years-world-bank-releases-ominous-news-about-recession-risk\/","title":{"rendered":"\u2018Sharpest Slowdown In 80 Years\u2019: World Bank Releases Ominous News About Recession Risk"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">26<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fsharpest-slowdown-in-80-years-world-bank-releases-ominous-news-about-recession-risk%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1506593&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>The World Bank cut its <a href=\"https:\/\/www.dailywire.com\/topic\/economy\">global growth<\/a> forecasts for 2022 on Tuesday and <a href=\"https:\/\/www.dailywire.com\/topic\/recession\">warned<\/a> of the \u201csharpest slowdown in 80 years.\u201d<\/p>\n<p>In January, the international financial institution forecasted 4.1% economic growth for this year. In light of elevated inflation, lockdowns in China, the Russian invasion of Ukraine, and other phenomena, the World Bank revised its <a href=\"https:\/\/www.worldbank.org\/en\/news\/press-release\/2022\/06\/07\/stagflation-risk-rises-amid-sharp-slowdown-in-growth-energy-markets\">2022 forecast<\/a> to 2.9%.<\/p>\n<p>\u201cMany countries will have a hard time avoiding a recession,\u201d World Bank President David Malpass said on <a href=\"https:\/\/twitter.com\/BloombergTV\/status\/1534179036880044033\">Bloomberg TV<\/a>. \u201cThe downside risk is that it could be a global recession. One of the key variables is whether supply comes back online in order to add growth and slow down the inflation rate. But this is the sharpest slowdown in 80 years.\u201d<\/p>\n<p>The World Bank compared global economic conditions to those witnessed in the 1970s \u2014 including supply-side issues causing inflation to soar and aggressive stimulus from central banks in advanced economies. One cause for optimism, however, is many central banks\u2019 subsequent development of strong commitments to low and stable inflation rates.<\/p>\n<p>\u201cGlobal inflation is expected to moderate next year but it will likely remain above inflation targets in many economies,\u201d the World Bank said. \u201cIf inflation remains elevated, a repeat of the resolution of the earlier stagflation episode could translate into a sharp global downturn along with financial crises in some emerging market and developing economies.\u201d<\/p>\n<p>In the United States, economic growth contracted at a 1.5% annualized rate during the first quarter of 2022, according to the <a href=\"https:\/\/www.bea.gov\/sites\/default\/files\/2022-05\/gdp1q22_2nd.pdf\">Bureau of Economic Analysis<\/a>, which associates recessions with <a href=\"https:\/\/www.bea.gov\/help\/glossary?title_1=All&#038;title=&#038;page=6#:~:text=The%20NBER%20recession%20is%20a,well%20as%20quarterly%20GDP%20growth.\">two consecutive quarters<\/a> of negative growth. Several prominent American business leaders recently expressed their concerns about a looming recession, and many technology companies \u2014 including Microsoft and Tesla \u2014 have initiated <a href=\"https:\/\/www.dailywire.com\/news\/recession-fears-lead-big-tech-companies-to-pause-hiring-cut-jobs\">pauses to hiring or announced layoffs<\/a>.<\/p>\n<p>\u201cYou know, I said there\u2019s storm clouds but I\u2019m going to change it\u2026 it\u2019s a hurricane,\u201d JPMorgan Chase CEO Jamie Dimon <a href=\"https:\/\/www.dailywire.com\/news\/top-banker-brace-yourself-for-looming-economic-hurricane\">said<\/a> last week. He added that no one knows if the hurricane is \u201ca minor one or Superstorm Sandy.\u201d<\/p>\n<p>\u201cRight now, it\u2019s kind of sunny, things are doing fine, everyone thinks the Fed can handle this,\u201d Dimon added. \u201cThat hurricane is right out there, down the road, coming our way.\u201d<\/p>\n<p>Consumer sentiment is collapsing amid the economic headwinds. According to a <a href=\"https:\/\/www.dailywire.com\/news\/poll-finds-more-americans-are-pessimistic-about-their-standard-of-living\">poll<\/a> conducted by The Wall Street Journal and the University of Chicago\u2019s National Opinion Research Center (NORC), 83% of respondents described the state of the economy \u201cas poor or not so good.\u201d Meanwhile, 35% said they are not \u201csatisfied at all with their financial situation\u201d \u2014 the highest level since the poll began in 1972.<\/p>\n<p>Last week, the Bureau of Economic Analysis revealed that Americans are spending beyond their means to cover their expenses as <a href=\"https:\/\/www.dailywire.com\/news\/americans-draw-from-their-savings-to-fuel-summer-costs-new-inflation-report-says\">inflation outpaces gains in income<\/a>. Households saved a slim 4.4% of their after-tax income in April \u2014 the lowest level seen since 2008. Meanwhile, Federal Reserve data indicate that <a href=\"https:\/\/www.federalreserve.gov\/releases\/g19\/current\/default.htm\">credit card balances<\/a> and similar types of debt soared at a 35.3% annualized rate in March \u2014 the fastest one-month surge since 1998.<\/p>\n<p>Indeed, nearly half of American adults are now \u201cchanging how they shop for groceries,\u201d including \u201copting for cheaper items, avoiding brand names and buying only the essentials\u201d amid the rising price levels, according to a <a href=\"https:\/\/www.dailywire.com\/news\/americans-changing-the-way-they-buy-groceries-as-inflation-soars-study-finds\">quarterly survey<\/a> from BMO and Ipsos.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The World Bank cut its global growth forecasts for 2022 on Tuesday and warned of the \u201csharpest slowdown in 80 years.\u201d In January, the international financial institution forecasted 4.1% economic growth for this year. In light of elevated inflation, lockdowns in China, the Russian invasion of Ukraine, and other phenomena, the World Bank revised its &#8230;<\/p>\n","protected":false},"author":99,"featured_media":1506689,"comment_status":"open","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1506593","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1506593","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/99"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1506593"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1506593\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1506689"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1506593"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1506593"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1506593"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}