Inflation was low, gas and diesel fuel prices were low, energy prices were down, housing starts were on the rise, wages had gone up, and a major portion of the country was already emerging from the idiotic COVID-19 lockdowns that his left-wing political opponents were using to crash the economy so they could blame it on him.
But now, less than two years later under the Biden regime, and just the opposite is true: Gas and diesel fuel prices up; cost of food up, clothing costs up; housing (rent) up; interest rates up; inflation across the board out of control. And never mind about Americans' stock and retirement portfolios, as Biden's economic mess has tanked the markets as well.
However, the really bad news is this: According to financial guru Jamie Dimon, things are not going to improve anytime soon and in fact, he sees a major recession coming early next year (though we have already had two straight quarters of negative growth so, technically speaking, we are already in a recession).
JPMorgan Chase CEO Jamie Dimon on Monday warned that a “very, very serious” mix of headwinds was likely to tip both the U.S. and global economy into recession by the middle of next year.
Dimon, chief executive of the largest bank in the U.S., said the U.S. economy was “actually still doing well” at present and consumers were likely to be in better shape compared with the 2008 global financial crisis.
“But you can’t talk about the economy without talking about stuff in the future — and this is serious stuff,” Dimon told CNBC’s Julianna Tatelbaum on Monday at the JPM Techstars conference in London.
CNBC added: "Among the indicators ringing alarm bells, Dimon cited the impact of runaway inflation, interest rates going up more than expected, the unknown effects of quantitative tightening and Russia’s war in Ukraine."
“These are very, very serious things which I think are likely to push the U.S. and the world — I mean, Europe is already in recession — and they’re likely to put the U.S. in some kind of recession six to nine months from now,” Dimon added.
The financial guru said that while the Fed “waited too long and did too little” as inflation catapulted to four-decade highs, the central bank is now “clearly catching up.”
“And, you know, from here, let’s all wish him success and keep our fingers crossed that they managed to slow down the economy enough so that whatever it is, is mild — and it is possible,” he added.
But that means, for an unknown period of time, sky-high interest rates that are preventing the vast majority of Americans from financing literally anything at the moment that isn't on a special rate like, say, a new car from a company offering special purchase rates. That means no used cars, no home financing refis, and little else in terms of buying on credit.
Dimon went on to say that what ultimately happens is still anyone's guess but things are not looking good.
“It can go from very mild to quite hard and a lot will be reliant on what happens with this war. So, I think to guess is hard, be prepared," he said.
Mike Shelby, CEO of Forward Observer, pushed back on President Biden's claim this week that we may be in for a "slight recession."
"Most, if not all, major investment banks say there’s a greater than 50% chance of a recession over the next 24 months. Several of those calls include a recession next year," Shelby wrote in the firm's daily subscriber email on Wednesday. "While there are predictions for a 'mild' recession, worsening liquidity issues, and Fed tightening risks, a financial crisis would almost certainly create a deep recession. There are additional risks that we suffer something worse than the 2008 collapse."