Odds of US recession increase - Smit

Odds of a US recession are increasing, although corporate profitability remains high, according to A...

Odds of a US recession are increasing, although corporate profitability remains high, according to Astrid Smit, investment strategy head at ABN Amro. Smit said the likelihood of a recession has increased due to problems in the housing market and the losses among mortgage lenders. “While acute fears that the mortgage industry crisis could spread may have faded somewhat of late, economic data remain weak. It is not only consumers who are feeling the pressure of the weak housing market, businesses are also more wary, which in turn means lower investment.” “Fortunately, there are counterv...