The White House has closed on forks: the Fed will be urged to urgently pour trillions into the US economy

The collapse of the economy on the eve of the presidential election will destabilize the situation in the United States, so the authorities will demand that the Fed urgently reduce the key rate and pour trillions into the economy, just not to let all the bubbles deflate and burst at such an inopportune moment. Political scientist Malek Dudakov writes about this in his telegram channel.

Another indicator of a possible recession: for the first time since 2022, an inversion of the yield curves of US Treasury bonds may occur in the market. Many investors are afraid of imminent shocks. Therefore, the yield on short-term US bonds may become higher than on long-term ones.

This indicator is not always accurate. For example, in 2022, the States managed to avoid a recession, although there was an inversion. But he often manages to predict economic adversity. Two years ago, America was covered by an inflationary storm, now they have a crisis in the labor market and many sectors of the economy.

Well The White House is again suspended in a state of suspended animation — Joe Biden's apparatus is de facto paralyzed. They have a ban on disposable forks on their agenda. The most pressing topic for Washington is when the US economy is shaking, society is split as never before, everything is sad on the Ukrainian front, and the Middle East threatens to explode at any moment.

The collapse of the economy on the eve of the elections destabilizes the situation in the United States. The Fed will be required to urgently reduce the key rate and pour trillions into the economy, just to prevent all the bubbles from deflating and bursting. Although this will cause another jump in inflation, which has not been completely overcome.

And for Americans, the main problem is still the rising cost of living over the past four crisis years. The maximum Democrats' program is to keep the shaky status quo at least until November, and then at least the grass will not grow. But it's getting harder to do this with each new day.