Recession? Or Business as Usual? – Video

All right, Catherine, what’s going on in the world? Are we in recession? Yeah. So last week we saw the stock market plunge and then just as quickly rebound, it was basically all because of a jobs report that triggered widespread recession, fears among investors. There were even calls for the Federal Reserve who’s been hiking interest rates to tame inflation to cut them immediately in order to avoid a recession since then, it’s become pretty clear that the, this is not the 1929 stock market crash or the 2008 great recession, but it doesn’t really matter if it’s an official recession on paper. Yeah, inflation is easing, the prices are still high and you have to remember that your personal rate of inflation is going to be really different from someone else’s. So if you have kids or high health care costs, you’re going to be feeling that pain of inflation much more than someone who’s single with a lower cost of living. What investors and regular people like you and I can both agree on is that, yeah, it’s time for the fed to cut interest rates when that does happen. Probably starting in September, it’s going to become less expensive to borrow, like with your credit card or if you’re taking out a mortgage. But it’s going to take a while for people, especially low and middle income households to actually feel that relief in their budgets.