Money

Actions

EXPLAINER: Recession fears grow. Just how high is the risk?

Explaining-Risk of Recession
Posted

WASHINGTON (AP) — Inflation is at a 40-year high. Stock prices are sinking. The Federal Reserve is making borrowing much costlier. And the economy actually shrank in the first three months of this year.

Is the United States at risk of enduring another recession?

For now, most economists don’t foresee a downturn in the near future.

Despite the inflation squeeze, consumers — the primary driver of the economy — are still spending at a healthy pace. Businesses are investing in equipment and software, reflecting a positive outlook. And the job market is still booming, with hiring strong, layoffs low and many employers eager for more workers. Still, recession risks are rising.



,

Weather

Daily Forecast

View Hourly Forecast

Day

Conditions

HI / LO

Precip

Saturday

05/10/2025

Clear

-° / 67°

0%

Sunday

05/11/2025

Clear

95° / 57°

0%

Monday

05/12/2025

Mostly Cloudy

79° / 53°

2%

Tuesday

05/13/2025

Clear

73° / 54°

1%

Wednesday

05/14/2025

Mostly Clear

81° / 58°

0%

Thursday

05/15/2025

Mostly Clear

88° / 62°

0%

Friday

05/16/2025

Partly Cloudy

90° / 62°

0%

Saturday

05/17/2025

Mostly Clear

87° / 61°

2%