Most CEOs see recession coming by 2020

[Peter1469]

Most CEOs see recession coming by 2020

Not good news at all. But all bubbles burst at some point.

Considering that major corporations have been busy shedding workers, it follows that corporate finance leaders see a U.S. recession ahead. Evidence of a slowing economy has been popping up, including recent large-scale cuts in head count by U.S. corporations such as General Motors and Verizon.

Eighty-two percent of chief financial officers polled believe a recession will have started by the end 2020, and nearly 49 percent think the downturn will arrive sometime next year, according to the Duke University/CFO Global Business Outlook, released Wednesday.


"The end is near for the near-decade-long burst of global economic growth," said John Graham, a finance professor at Duke's Fuqua School of Business and director of the survey. "The U.S. outlook has declined, and moreover the outlook is even worse in many other parts of the world, which will lead to softer demand for U.S. goods."


Worst-case projections would see capital spending drop in 2019, accompanied by flat hiring, found the survey conducted Friday of more than 500 CFOs, including 226 from North America.

If this is a real possibility, perhaps the Fed should not be raising interest rates now.

[pjohns]

I am not nearly so pessimistic as some are.

Still, all good things must come to an end. And the current bull market is getting rather long in the tooth by now.

As a consequence, I would not be entirely surprised to see the bear make an appearance before too long.

[Peter1469]

I am not nearly so pessimistic as some are.

Still, all good things must come to an end. And the current bull market is getting rather long in the tooth by now.

As a consequence, I would not be entirely surprised to see the bear make an appearance before too long.

I think the CEOs are worried about an economic recession which is broader than a bull market.