US recession not ‘inevitable,’ Treasury secretary says

• Treasury Secretary Janet Yellen says a recession is not “inevitable”.
• The comments come after the US Federal Reserve raised interest rates, stoking worries.
• Skyrocketing prices and supply-chain bottlenecks made worse by the conflict in Ukraine

A US recession is not “inevitable,” Treasury Secretary Janet Yellen said on Sunday, only days after the US Federal Reserve raised interest rates, stoking worries of a recession.

“I expect the economy to slow,” she said on ABC’s “This Week,” but “I don’t think a recession is at all inevitable.”

Read More: US economy slowed slightly more in Q1: govt

The United States economy has made a healthy recovery from the damage caused by Covid-19; nevertheless, skyrocketing prices and supply-chain bottlenecks made worse by the conflict in Ukraine have heightened pessimism.

Previously on US recession

The United States is not likely to fall right into a recession as hobby fees upward thrust to fight hovering inflation, the American treasury secretary said Wednesday, while warning of the dangers for Europe following the invasion of Ukraine.

“I honestly don’t count on the USA to fall right into a recession,” Janet Yellen stated at a press convention ahead of a meeting of G7 finance ministers in Germany.

Europe is “more vulnerable and of course, more exposed on the energy front” as prices rise following the Russian invasion of Ukraine, she said.

The continent is highly reliant on Russian energy imports for its energy needs, with any disruption to supplies of oil and natural gas threatening stoppages for the industry.

Read More: US recession risk low but Europe ‘vulnerable’: Yellen