Is A Recession Actually Happening?
For the first time since the global pandemic, the U.S. economy has reportedly shrunk by a rate of 1.4%. With this in mind, consumer and business spending did not seize at all, keeping all the positivity of this economy shrinking in a somewhat good standing. At this moment, the Federal Reserve still has their initial plan intact of aggressively raising interest rates due to the serious inflation rate spikes. With a huge drop in exports in the first quarter of 2022, the supply of consumer goods were very low and drove more demand for them than usual. To say the Ukraine-Russia war did not have an effect on this would be an understatement. For more news on why and how the economy is shrinking, feel free to contact our executive team at Allegiance Gold. Here at Allegiance Gold, we make sure that you are educated on all the important news that could affect you. After this article, call 844-790-9191 to discover more information.
In comparison, quarter 1 of 2022 has been the weakest quarter since the spring of 2020 when the global pandemic was in full effect. Now that it has been two years since the global pandemic first struck, the U.S. economy has many hurdles to overcome. With a high labor shortage, and prospects resorting to remote work, the economy and the way businesses operate will have to gravitate around a new normal. California made headlines as they have proposed a 4 day work week for companies based in California. This allows employees to have a staggered work system and a higher hourly salary to compensate for the overall, respected salary. Economists do believe that the economy can rebound with higher interest rates and return to growth in the second quarter of 2022, but overcoming some of the economic challenges may have an impact as well. Now more than before, a recession does seem likely to happen. If a recession actually does take place, more national debt and more economic challenges will surface.
Through the pandemic and the economic turmoil that followed after, investors sought out investments that could help preserve their financial well-being. With the stock market taking a steep nose dive, one true investment stood the test of time. Precious metals became a safe haven for investors in 2020. Both gold and silver saw historic growth and stability during the pandemic and after. Precious metals also got the attention of investors like Warren Buffett who invested heavily in precious metals to preserve his wealth. To learn more about how precious metals like gold and silver can help preserve your wealth, call 844-790-9191. The executives at Allegiance Gold stay on top of the always-changing economy to protect your wealth. Make sure to inquire about receiving your FREE Retirement Survival Guide, or simply fill out the form below!
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