Biden says he doesn’t think there will be an economic recession

U.S. President Joe Biden arrives to speak at Volvo Group’s powertrain manufacturing plant in Hagerstown, Maryland, Friday, Oct. 7, 2022.

Craig Hudson | Bloomberg | Getty Images

President Joe Biden said he doesn’t believe there will be a recession in the near future, and if there is, he expects it to be a “slight” economic downturn.

“Every six months they say this. Every six months they look down the next six months and say what’s going to happen,” Biden said in an interview with CNN’s Jake Tapper that aired Tuesday, referring to recent economic projections from major US authorities. banks.

“It hadn’t happened yet. It wasn’t… I don’t think there’s going to be a recession. If it is, it’s going to be a very small recession. That is, we’re moving down a little bit.”

JPMorgan Chase CEO Jamie Dimon warned Monday of the likelihood of a recession in six to nine months.

Watch CNBC's full interview with JPMorgan's Jamie Dimon on the recession, market turmoil, Twitter and more

In an interview with CNBC, Dimon warned of a “very, very serious” mix of headwinds that could tip both the U.S. and global economy into recession by the middle of next year.

The concerns come as the Federal Reserve continues to raise interest rates aggressively in an effort to reduce inflation. In September, the US central bank raised key interest rates by three-quarters of a percentage point – the Fed’s third increase in a row.

Biden didn’t completely dismiss the odds of a recession, but told CNN the odds were low.

“It’s possible,” Biden said. “I don’t expect it.”

The president acknowledged that the United States has “real problems” but credited legislation passed under his administration like the Inflation Reduction Act with putting the United States in “a better position than any other major country in the world economically and politically.”

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