Category: soft landing

What Does It Mean to Have a Soft Landing?

Commentary Economic language is packed with metaphors. It would be sunk without them. The economy is overheating. It’s depressed. It’s recessed. It’s hot. It’s cooling. It hit the skids. It’s in free fall. We’d better put on the brakes! Housing is underwater. This stock is headed to the moon. Inflation is easing. The Fed is…


ANALYSIS: Is the US Economy Headed for a ‘Soft Landing’?

News Analysis Several new reports have bolstered the narrative that the U.S. economy might be able to stick a so-called “soft landing,” referring to a scenario in which inflation falls back down to target while a recession is avoided and there’s no meaningful drop in employment. The two reports—the Business Roundtable’s quarterly CEO economic outlook…


A Soft Landing Scenario—Another Fed Myth?

Commentary Optimism is increasing on Wall Street, with investors hoping for a “soft landing” in the economy. “David Kelly, the chief global strategist at JPMorgan Asset Management, is betting that inflation will continue to ease in 2023, helping the U.S. economy to narrowly escape a recession. Ed Yardeni, the longtime stock strategist and founder of…


America’s Economic Downturn Could Be Worse Than ‘Average Garden Variety’ Recession: Stanley Druckenmiller

Billionaire investor Stanley Druckenmiller said at an investor summit in New York City on Sept. 28 that he’s worried that the economic downturn stalking the United States could be worse than an “average garden variety” recession. Druckenmiller said at the Delivering Alpha Investor Summit that he’s convinced it’s impossible for the U.S. economy to experience…


Economic ‘Soft Landing’ Prospects Are Fading

The chance of a “soft landing” for the U.S. economy has come down since the Federal Reserve raised interest rates by 75 basis points this month. Recession fears are mounting and Google Trends data show more Americans are searching for the term “recession” than at any other time since 2004. Because of the failure of…


Hot Inflation Dims Likelihood Fed Can Achieve ‘Soft Landing’

WASHINGTON—For months, Chair Jerome Powell has held out hope that the Federal Reserve will be able to raise interest rates high enough to throttle rampant inflation without tipping the economy into recession. Yet with the Fed set to announce another sharp interest rate hike after it meets this week, days after the government issued a…


Powell Says He Can’t Promise a ‘Soft Landing’ and Avoid Recession as Fed Fights Inflation

Federal Reserve Chair Jerome Powell said Thursday that persistent supply chain disruptions and “huge” geopolitical events happening around the globe could foil the Fed’s attempts at engineering a so-called “soft landing” for the U.S. economy, with the central bank chief’s statement amounting to an acknowledgment of the possibility of a recession. Powell made the remarks…