Flagging consumer confidence points to recession

A recession may be on the horizon, according to Julia Coronado, chief economist for North America at BNP Paribas.

She says stalled consumer confidence and non-existent job growth are a bad combination for the future direction of the U.S. economy.

The deteriorating confidence measures caused Coronado to downgrade her outlook for future GDP numbers. She predicts other economists will follow suit.

• Watch : BNP’s Coronado Sees `Mild’ U.S. Recession

Gluskin Sheff & Associates chief economist and strategist David Rosenberg says the poor jobs showing enforces a growing concensus the outlook is grim.

He adds there’s little the U.S. Federal Reserve can do to jumpstart the flagging economy.

• Watch: Rosenberg Says Fed Can’t Do Much to Avert U.S. Recession

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.