Covid broke the economy. No one knows what's next
New York CNN Business —Each week brings head-scratching contradictory news about the economy.
Tthis past week was no different, with a batch of economic reports showing that — despite the recession talk — the US economy shows remarkable resilience.
Yes, the economy is strong.
Let’s review:However, these are just ingredients in a murky soup of conflicting “yes, but” headlines.
Yes, consumers say they feel lousy about the economy.
Curtis Dubay, chief economist at the US Chamber of Commerce calls this “second-hand pessimism” and says the economy might not be doing as poorly as you think.
Yes, inflation at near 40-year highs is biting into family budgets.
But Americans are booking air travel and heading to Disney parks in near-record numbers, even with higher park prices.
Yes, economists are worried about a recession, but the job market is incredibly tight with more than 10 million open jobs and 1.7 jobs available for anyone who’s searching for one (or looking to job hop).
“The labor market is incredibly strong again,” Federal Reserve Chairman Jerome Powell in a speech Wednesday.
That means the next year will no question be a challenge as all that tightening continues to work its way through the economy.
More than two years later, we’re still struggling to gauge the strength and durability of the recovery.