The Wall Street Journal just released their latest monthly Survey of Economists. In an article on the findings, they reported. indicating Economic Recovery Already Underway? But will we see the economic up swing anytime soon?
“The U.S. by the third quarter of this year, economists said in a survey that also concluded the labor market will fare better than previously expected following the effects of the coronavirus pandemic.”
The question is, is the economic recovery already here. Clearly, the latest jobs report from the U.S. Bureau of Labor Statistics confirmed the labor market is outperforming expectations, as it revealed that 2.5 million jobs were added. Directly before the release, experts forecasted that we would lose over 8 million jobs. This will be a key to Economic Recovery. Way.
A second revelation indicating the economy is already about to turn around was also somewhat unexpected. More than 9 out of 10 economists surveyed believe the Economic Recovery has already begun this quarter or will begin in the third quarter. Here are the results of the survey question asking when the recovery will begin:The survey also asked what type of recovery the economists expect.
More than 8 out of 10 believe it will be a form of a ‘V’ recovery:
- A true ‘V’ with a sharp drop and a sharp rebound
- A ‘Nike Swoosh’ with a sharp drop and a more gradual recovery, coined after the company’s logo
Some experts, possibly concerned about a second wave of COVID-19, call for a ‘W’ recovery – a double dip recession.
Others call for a ‘U’ with a prolonged bottom.
A very small percentage project the dreaded ‘L’ recovery, which is no recovery at all for the foreseeable future (think of the Great Recession).
Though we still have a long and difficult journey ahead, it appears the worst for both the economy and the unemployment situation may be in our rearview mirror. Economic Recovery most likely we will see third quarter.
In Haywood County NC Home Sales are still strong but down some in May. Starting Phase 2 of the Covid-19 most likely will strength the real estate market allowing visitors to stay, and seasonal home owns not needing to quarantine for 14 days. Along with all-time low interest rate giving buyers more buying power. Showing Economic Recovery Already Underway?