Buffett On US Rating Downgrade, BoA's Recession Forecast, Krugman On 'Bidenomics' And More: Economic Highlights This Week

This week in the economic sector was marked by significant developments and insights from industry leaders. Warren Buffett shared his views on the U.S. rating downgrade by Fitch, while JPMorgan CEO Jamie Dimon spoke about the economic storm clouds that remain. Bank of America withdrew its recession forecast amid a strong job market, and economist Paul Krugman praised Bidenomics. Lastly, CNBC’s Jim Cramer shared his thoughts on China’s economic strategy.

Warren Buffett Unfazed by Fitch’s U.S. Downgrade
Billionaire investor Warren Buffett revealed that he is not worried about the U.S. rating downgrade by Fitch. Despite the downgrade, Buffett’s company, Berkshire Hathaway, Inc. BRK BRK, continues its market operations as usual. Buffett reiterated that the rating action does not change the way he sees U.S. Treasuries or the dollar. Read the full article here.

Jamie Dimon Sees Economic Storm Clouds
JPMorgan Chase & Co’s JPM CEO Jamie Dimon stated that despite the economy being in good shape, two things give him heightened concern: fiscal spending and the quantitative tightening, and the crisis in Ukraine. Dimon expressed that the government’s handling of the COVID crisis was appropriate, but spending and quantitative easing went on for too long. Read the full article here.

Bank of America Withdraws Recession Forecast
Bank of America Corp has retracted its earlier forecast of an impending recession, citing a robust job market and vigorous consumer spending. However, the bank’s CEO, Brian Moynihan, expressed concerns about the proposed new capital requirements for the largest U.S. banks. Read the full article here.

Paul Krugman Praises Bidenomics
Economist Paul Krugman has praised President Joe Biden’s economic policy, aka Bidenomics, stating that it looks a lot better in retrospect. Krugman pointed to recent data points such as the June employment report, consumer price inflation, and GDP growth to make his case. Read the full article here.

Jim Cramer’s Take on China’s Economic Strategy
Jim Cramer expressed skepticism about China’s economic strategy, questioning whether the country can stimulate its economy while maintaining a “guns and butter” strategy. Cramer also questioned whether China’s Belt & Road Initiative will still be a priority after the more than $200 billion spent on stimuli. Read the full article here.

What’s On Radar For Next Week

As the economic sector continues to evolve, it’s crucial to stay updated on the latest trends and developments. While specific events for the coming week are yet to be announced, the sector is expected to remain dynamic with potential new partnerships, technological advancements, and regulatory updates. Unfortunately, due to technical issues, we were unable to provide a specific link for more information.

Stay informed and explore further on Benzinga's economic coverage by following this link.

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