{"id":64417,"date":"2022-12-09T14:09:24","date_gmt":"2022-12-09T19:09:24","guid":{"rendered":"https:\/\/olduvai.ca\/?p=64417"},"modified":"2022-12-09T14:09:24","modified_gmt":"2022-12-09T19:09:24","slug":"blackrock-prepare-for-recession-unlike-any-other-and-what-worked-before-wont-work-now","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=64417","title":{"rendered":"BlackRock: Prepare For Recession “Unlike Any Other”… And What Worked Before “Won’t Work Now”"},"content":{"rendered":"
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BlackRock: Prepare For Recession “Unlike Any Other”… And What Worked Before “Won’t Work Now”<\/a><\/h3>\n<\/header>\n
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The world’s largest investment manager has gone all in – and says a global recession is right around the corner. What’s more, the financial tricks deployed by Central Banks in the past ‘won’t work this time.’<\/p>\n

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According to BlackRock, the global economy has entered a phase of elevated volatility, and that a recession is imminent due to central banks aggressively boosting borrowing costs to tame inflation. Their actions, according to a team of BlackRock strategists, will ignite more market turbulence than ever before.<\/p>\n

“Recession is foretold<\/strong>\u00a0as central banks race to try to tame inflation. It’s the opposite of past recessions,” the team wrote In their\u00a02023 Global Outlook<\/strong><\/a>\u00a0(embedded below), which says that\u00a0the global economy has already exited a four-decade period of stable growth and inflation<\/strong>, and has now entered a period of heightened instability.<\/p>\n

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And when things get bad,\u00a0“Central bankers won’t ride to the rescue when growth slows in this new regime<\/strong>, contrary to what investors have come to expect.\u00a0Equity valuations don’t yet reflect the damage ahead<\/strong>.”<\/p>\n

“What worked in the past won’t work now<\/strong>,” said the strategists. “The old playbook of simply ‘buying the dip’ doesn’t apply in this regime of sharper trade-offs and greater macro volatility. We don’t see a return to conditions that will sustain a joint bull market in stocks and bonds of the kind we experienced in the prior decade.”<\/p>\n

So what can actually tame inflation?\u00a0A deep recession<\/strong>, according to the report.<\/p>\n

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To navigate the coming storm, BlackRock recommends more frequent portfolio changes and taking a more “granular view on sectors, regions and sub-asset classes.”<\/p>\n

Compounding the issue is\u00a0aging workforces<\/strong>\u00a0around the world – which is one key reason that the supply of US labor is struggling to keep up with demand.<\/p>\n

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\u2026click on the above link to read the rest\u2026<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

BlackRock: Prepare For Recession “Unlike Any Other”… And What Worked Before “Won’t Work Now” The world’s largest investment manager has gone all in – and says a global recession is right around the corner. What’s more, the financial tricks deployed by Central Banks in the past ‘won’t work this time.’ According to BlackRock, the global […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[2203,1264,4318],"class_list":["post-64417","post","type-post","status-publish","format-standard","hentry","category-economics","tag-blackrock","tag-recession","tag-zerohedge"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/64417","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=64417"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/64417\/revisions"}],"predecessor-version":[{"id":64418,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/64417\/revisions\/64418"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=64417"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=64417"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=64417"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}