Several factors, such as multi-decade high inflation, the possibility of aggressive interest rate hikes, and the Ukraine-Russia war, have resulted in enormous volatility in the stock market. Furthermore, lingering supply chain issues due to geopolitical tensions and extended COVID-19 lockdowns in China have added to investors' anxieties. Many analysts also expect the Fed’s monetary policy tightening to push the economy into a recession.
Following a decline in GDP in the first quarter, many analysts and economists have cut their GDP growth estimates for the second quarter. Goldman Sachs slashed its estimates for second-quarter GDP from 2.9% to 2.5%. And Wells Fargo's CEO said there's "no question" that the economy is heading into a recession.
