- In a tweet on Friday, Elon Musk predicted that a recession would last until the spring 2024.
- A user asked the tech guru when an economic downturn would occur.
- Musk had already attacked the Fed and said that sharp rate increases are backward-looking.
Elon Musk claims that any recession coming will not last beyond the spring 2024.
The technology tycoon Twitter user on Friday, I repliedHe was asked how long negative growth would likely last.
Musk replied, “Just guessing. However, probably until spring of 24.”
It is not clear whether Musk meant a US recession or a global one. He also did not give a date for any possible recession. His prediction came after a conversation about a global economic recession in which another user said: “I guess all you have to worry now is about the impending global recession, nuclear apocalypse.”
Musk’s death is the most dreadful prediction. The Federal Reserve was blastedFor its To cool inflation, extreme interest-rate increases. During Tesla’s third quarter earnings call, the CEO lashed out at the US central bank, claiming that they are looking backwards. He also said that he believes Jerome Powell will and his fellow colleagues will finally realize their mistake.
Musk said that rate increases like these have led to a rising dollar. Tesla’s quarterly sales decline was attributable to this.
Musk claimed that Fed officials are not listening as they look at the rearview mirror, rather than looking out the windshield.
In an effort to combat 40-year-old high inflation, the Fed launched a series rates hikes this year. It raised rates from almost zero in March, to a range ranging between 3% 3.25% and 3%, and indicated they could close to 5% next.
Musk is not the only one to raise the alarm about a recession. He told Tesla executives this month that he had “a” for recession. “Super bad feeling” about economyAfter guessing that the US would experience a “mild recession”For 18 months
His worries echo those of top economists like Jeremy Siegel. Siegel criticised Fed for failing to nip inflation in the bud and said that the Fed is risking an excessively harsh inflation by raising rates.
Musk claimed that Siegel is correct on the earnings call.
