In the Federal Reserve’s quiet period before its officials meet to decide their final actions this year, Wall Street watchers are filling the void, loudly warning that next year’s outlook for the U.S. economy and stocks is grim.
From Goldman Sachs Group’s David Solomon caution that the economy faces "bumpy times ahead,” to JPMorgan Chase’s Jamie Dimon grimmer view that this would be a "mild to hard recession,” and Morgan Stanley Wealth Management’s Lisa Shalett, who said that corporations are facing a "rude awakening” on earnings, the messages have become increasingly dire.
"We do not think the economic conditions for a sustained upturn are yet in place,” Mark Haefele, chief investment officer at UBS Global Wealth Management, wrote in a note. "Growth is slowing and central banks are still raising rates.”