"There are obviously some serious storm clouds on the horizon, but I'm not quite ready to declare a recession at this time.”
Brian G. Long is Director of Supply Management Research in the Seidman College of Business at Grand Valley State University.
“All of our current numbers, and I underline current numbers, which flag a recession are still more emblematic of a slowdown, which is of course, what the Fed is trying to accomplish with the higher interest rates. That could change with time, but right now, I don't see a big collapse in all of these different segments.”
Weakness in the jobs report panicked markets last week, but Long points out its evidence higher interest rates are slowing the economy lowering inflation.
Still, uncertainty is now on the minds of business leaders and that will hinder growth.
July’s survey revealed new orders remained negative while production and employment indexes fell.