The Fed Expects a Recession: 1 Solid Index Fund Investors Can Buy With Confidence Right Now
Economic growth slowed dramatically in the first quarter as elevated inflation and high interest rates caused business investments to decline, and the situation continued to deteriorate in the second quarter. Consumer sentiment currently sits at a six-month low, hinting at weakness in consumer spending that could cause economic growth to decelerate further.
Projections from the Federal Reserve align with that outlook. Policymakers expect real gross domestic product to increase just 0.4% this year, well below the long-term trend of 2%, and they anticipate a mild recession before the end of 2023. Given that alarming forecast, some investors may think it prudent to avoid the stock market right now, but that decision will likely backfire. The S&P 500 usually rebounds before recessions end and missing part of the rebound can do lasting damage to a portfolio.
Here is one solid index fund investors can buy with confidence right now.
Source Fool.com
