The Conference Board found that 98% of CEOs surveyed are prepared for a US recession and 99% for an EU recession. The agency said, “CEO confidence fell further in the fourth quarter and is at its lowest level since the Great Recession.”
98% of CEOs expect a U.S. recession
TheConference Boardreleased its “CEO Confidence Measurement” on Thursday. The Board is a global non-profit research organization with a membership of more than 1,000 public and private companies and organizations in 60 countries.
The Measure of CEO Confidence is “a barometer of the health of the U.S. economy from the perspective of U.S. chief executive officers,” the Conference Board explained, adding that its fourth quarter survey was conducted between September 19 and October 3, with a total of 136 CEOs participating It adds that a total of 136 CEOs participated.
“The most recent survey asked CEOs about the economic conditions they are preparing to face over the next 12 to 18 months,” the board explained, adding.
An overwhelming majority – 98% – say they are prepared for a U.S. recession. Additionally, 99% of CEOs said they would prepare for an EU recession.
Dana M. Peterson, chief economist for the Conference Board, commented, ” CEO confidence sank further at the start of the fourth quarter and is at its lowest level since the Great Recession.”
Roger W. Ferguson, Jr. vice president of the Business Council and a member of the Conference Board’s board, opined. said, “CEOs are preparing for an almost inevitable recession, both in the U.S. and in Europe. While most still expect the U.S. recession to be short and shallow, nearly 7 in 10 believe the EU will enter a deep recession with severe global repercussions.” He stated.
Many are predicting a recession in the U.S. economy, with JP Morgan CEO Jamie Dimon warning that a recession could hit within six months and the stock market could easily fall 20% or more. In June, this executive warned that an economic hurricane was coming and advised people to brace themselves; in August, the JPM boss upped the ante, warning that “something worse” than a recession might be coming.
Citadel CEO Ken Griffin said last month that inflation may have peaked, but a recession is coming. Griffin stressed that “we are in a very uncertain time for investors.” Tesla CEO Elon Musk also believes that there will be “a mild recession for the next 18 months.”
Members of Congress are also concerned about the U.S. economy falling into a recession. Senator Elizabeth Warren (D-N.Y.) said in August that she is “very concerned” that the Federal Reserve will raise interest rates and send the United States into recession.
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