For Immediate Release
April 6, 2022
Smiley Statement on Deutsche Bank Prediction of US Recession
PASCO, WA – Veterans advocate and U.S. Senate candidate Tiffany Smiley (R-WA) issued the following statement concerning Deutsche Bank’s prediction that the United States will enter a recession next year.
Bloomberg news is reporting that Deutsche Bank is one of the first major banks to forecast a U.S. recession in 2023. Their analysis predicts that the Federal Reserve will raise interest rates to more than 3.5% by the middle of next year in a move to address rising inflation. This tightening will be a major hit on the U.S. economy and could lead to higher unemployment - rising from the current level of 3.6% to 4.9% by 2024. Finally, Deutsche Bank’s forecast expects an increase in Treasury note yields while stocks lose up to 20% of their value.
Tiffany Smiley said: “Deutsche Bank’s forecast that the US will enter a recession next year is an ominous indicator of where the current administration’s financial policies are taking our country. Despite warning indicators like runaway inflation and the rising costs of goods and services, Joe Biden, Patty Murray and the rest of the Democratic leadership have refused to take steps to avoid this potential turn of events - opting instead to continue printing and burning through money while also increasing deficit spending. Leadership and fiscal responsibility must return to the Beltway, or the strain Washington families are feeling now will be compounded not just by higher prices and interest rates, but higher unemployment and tumbling stock prices as well.”
With Patty Murray’s full support, the Democrats and President Biden have spent trillions of dollars in the past year on legislation like the American Rescue Plan, the return of earmarks and increased discretionary spending - all of which have fueled runaway inflation.