ICYMI – Goldman CEO Solomon says prospect of a US recession ‘has increased’

Goldman Sachs CEO David Solomon spoke to analysts on Monday (US time) after releasing first quarter results:

• prospect of a recession “has increased”
• Solomon cited:
• the uncertainties of a trade war
• firms unsure about how to plan for the future
• “we are entering the second quarter with a markedly different operating environment than earlier this year”
• economic growth had been “slowing down”
• implementation of new trade policies from Trump “reset the prospect of forward growth pretty significantly all over the world”

Soloman pointed to clients of GS:

• “concerned by the significant near-term and longer-term uncertainty that has constrained their ability to make important decisions”
• uncertainty about the path forward amounted to “material risk” for the US and global economy
• “The prospect of a recession has increased with growing indications that economic activity is slowing down around the world”

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Most of us here are clicking to buy and sell financial instruments, on varying time frames from scalper to longer-term. Carry on! Don’t dismiss the risks to main street though, decisions to build new factories, open outlets and what have you, are MUCH more difficult now in this environment.

This article was written by Eamonn Sheridan at www.forexlive.com.