Top economic takeaways as US wrangles with recession fears

American consumers, feeling less confidence about their spending as inflation takes a bigger bite out of their earnings, did spend more on goods in June but mostly because prices continue to soar [File: Bloomberg]

It was an eventful, data-packed week for the US economy.

The Federal Reserve, the country’s central bank, raised interest rates by 75 basis points on Wednesday, the second time in as many meetings, in the hopes that higher borrowing costs help balance supply and demand. On Thursday, gross domestic product (GDP) estimates indicated that the US economy contracted for two consecutive quarters, stirring concerns that the country may be headed towards a recession.