Neuberger Berman's Jonsson: Market putting risk of US recession too high

Said likelihood of recession is around 25%

Neuberger Berman's Jon Jonsson, senior portfolio manager of the Global Bond Absolute Return fund, said he is confident the volatile start to 2016 does not mean a recession is on its way and the key is in the US housing market.

The manager of the $151m (£105m) fund said Wall Street analysts are pricing a 50% chance of a US recession into the S&P 500 but, despite a lot of volatility in 2016, he said the risk of recession is much lower - around 25%. He said: "We do not agree with the market's assessment that there is a 50% chance a recession will take hold. We think this is too much, the probability is more like 25%. "As soon as manufacturing PMIs in the US fell below 50, people saw that as a sign of recession. But manufacturing only accounts for 10% of the US economy and we do not think that is enough to lead...