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The U.S. may already be in a "plain vanilla recession," according to Danielle DiMartino Booth, CEO and chief strategist for Quill Intelligence and a former advisor to the Federal Reserve Bank of Dallas. DiMartino Booth explained how a weakening job market and increasing Chapter 11 bankruptcy filings signal that the U.S. is already in a recession. DiMartino Booth suggested that "for the next six to 18 months, AI is going to … feel like a weapon of mass destruction." DiMartino Booth also said the Fed isn't entirely to blame for the high levels of inflation explaining that the "interest rate policy is a blunt instrument." Watch the video above to learn more about what Danielle DiMartino Booth has to say about the state of the U.S. economy, including why the nation may already be in a recession, ways AI is changing the workplace and how the economy can work best on a global scale.
Persons: Danielle DiMartino Booth, DiMartino Booth, Organizations: Quill Intelligence, Federal Reserve Bank of Dallas, CNBC Locations: U.S
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailThe U.S. may already be in a "plain vanilla recession": Danielle DiMartino BoothSignificant job losses and bankruptcy filings over the past year signal a "plain vanilla recession," according to Danielle DiMartino Booth, CEO and chief strategist for Quill Intelligence. In this episode of "The Bottom Line," CNBC explores the former Dallas Fed advisor's views on the state of the U.S. economy, the navigating high of inflation and interest rates, globalization and a weakening labor market.
Persons: Danielle DiMartino Booth Organizations: Quill Intelligence, CNBC, Dallas Fed Locations: U.S
The US may already be in a recession, according to Danielle DiMartino Booth. A steady rise in the unemployment rate above cycle lows signals a recession, she said. Other forecasters have said the unemployment rate could reach 5% by year-end. AdvertisementThe US could see a rise in layoffs, and there's one indicator in the labor market that suggests a recession is already here, according to veteran market forecaster Danielle DiMartino Booth. The Quill Intelligence Research chief strategist pointed to worrying signs in the labor market, despite headline job growth remaining strong.
Persons: Danielle DiMartino Booth, Organizations: Service, Quill Intelligence Research, Business Locations:
Minneapolis CNN —For the first time in more than 12 months, the pace of consumer price hikes accelerated on an annual basis. The Consumer Price Index rose 3.2% for the year through July, up from June’s 3% annual increase, according to data released Thursday by the Bureau of Labor Statistics. Core CPI, which excludes the more volatile food and energy prices, increased 0.2% from June and was up 4.7% from the year-ago period. July is the the fourth consecutive month that annual core CPI has eased, and the 4.7% rate landed 0.1 percentage points below consensus expectations. Shelter prices rose 0.4% month on month and were up 7.7% for the year ending in July.
Persons: “ Don’t, , Julia Pollak, Joe Biden, ” Biden, “ We’ve, Kurt Rankin, Dow, , Joe Brusuelas, Brusuelas, Tamara Charm, Brandon Bell, Danielle DiMartino Booth, DiMartino Booth, — CNN’s Elisabeth Buchwald Organizations: Minneapolis CNN —, Bureau of Labor Statistics, BLS, CPI, Federal Reserve, PNC, Nasdaq, RSM US, CNN, San, Services, , McKinsey, Quill Intelligence, Federal Reserve Bank of Dallas Locations: Minneapolis, June’s, San Francisco, Austin , Texas
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailHow used car sales could preview what's to come with Wednesday's inflation dataHosted by Brian Sullivan, “Last Call” is a fast-paced, entertaining business show that explores the intersection of money, culture and policy. Tune in Monday through Friday at 7 p.m. ET on CNBC. Danielle DiMartino Booth, Quill Intelligence CEO, joins the show to preview the CPI report on Wednesday.
The good news: Banks were willing to go to the Fed for help, and the central bank was willing and able to comply. Programs such as the BTFP can have that stigma, too, but in this case the Fed made its conditions a bit easier than the discount window. The BTFP also pays par value on securities offered in exchange for cash, while the discount window uses market value. "The discount window takes everything. "We have seen the largest uptake of the discount window in history.
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailFed Chair Powell will 'hide behind' data to keep rates higher for longer, says economistDanielle DiMartino Booth of Quill Intelligence disagrees with the Fed's use of time-lagged data to keep rates higher for longer. She argues that banks are signaling that the bankruptcy and default cycle has "begun to unwind".
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailFed unlikely to hike interest rates by 50 basis points in February meeting, says strategistDanielle DiMartino Booth of Quill Intelligence says nothing Federal Reserve Chair Jerome Powell said in his press conference led her to believe a 50 basis point hike in February "was even in the cards."
Federal Reserve Chairman Jerome Powell has acknowledged the economic pain this rapid tightening regime may cause. A larger hike is possible, but unlikelySome economists even expect the Fed to implement a massive — and historic — full-point rate hike on Wednesday. It meant that people understood the seriousness of the Fed’s commitment to getting inflation rates back down to 2%, he said. They want higher bond yields,” former New York Federal Reserve President Bill Dudley told CNN back in May. The Federal Reserve announces its rate hike decision Wednesday at 2 p.m.
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