New Markets are opening up. Technology is accelerating. It’s changing everything.
And creating fortunes in the process.Dynamic Wealth Research exposes the biggest and most profitable changes for our readers.
U.S. Banking King:
Recession Now Just Months Away
“...Mild or hard recession.”
That’s the latest recession prediction from Jamie Dimon, the CEO of JPMorgan Chase.
It’s nothing new.
Dimon has been warning of a recession for months.
The key difference that caught DWR’s notice is there is now timing as part of the prediction and he is citing the same factors we’ve been citing.
The Waiting Is The Hardest Part
Dimon, someone who is surely briefed on real-time consumer and commercial banking trends, started getting really specific this week about the catalysts for a recession.
He went on to cite the obvious of rising interest rates, global upheaval, etc.
But when he got to inflation, something had changed in his forecast.
He cited how the U.S. consumer built up $1.5 trillion savings, but inflation is eating away at that fast.
He expects it to be completely wiped out in “Mid-2023.”
That’s something DWR has been talking about for a long time.
Most recently was in Originally at Two Troubling Personal Financial Trends Are Accelerating where we look at the complete consumer numbers.
Our conclusion hasn’t changed…
This will not end well.
Investors should brace for the inevitable impact.
Because it’s going to shake up a sizable share of the economy.
Some sectors are going to get slammed as customers turn away from non-discretionary purchases altogether.
But we’ve identified a few potential winners which will provide those same consumers a bit of relief.
Let’s take a look.
Savings Down, Credit Cards Up
One of the impacts of the pandemic and the cash thrown out by the government was a historic surge in U.S. savings.
The total amount of cash saved by U.S. people surged from about $1.5 trillion before the pandemic to a peak of more than $4 trillion.
Inflation and economic decline have eliminated all that savings and then some though.
The chart below is from the Federal Reserve and shows the U.S. total savings: