Insight - Is a recession looming?

Some view that the hawkish stance taken by the Fed is intended to soften demand, and it is premature to say that its tightening monetary stance will lead to a US recession.“But if a US recession were to develop, Asia will not be spared despite China’s easing stance, a policy undertaken to cushion its slowdown,” said Fortress Capital Asset Management Sdn Bhd CEO Thomas Yong.

WHILE Malaysians are revelling with the economy reopening, many are seemingly unaware of recession clouds gathering over the rest of the world.

There is a clear sign of risk aversion in the market – demand for the dollar has been rapidly rising with the dollar index surpassing the 100-point mark, leading to the depreciation of other currencies including the ringgit.