We Are Months Away From A Recession, Says Wells Fargo. The Fed Won't Pivot Until 2024

Wells Fargo predicts multiple rate hikes next year as the U.S. goes through a recession.

Wells Fargo does not expect a pivot to rate cuts till the Fed is certain that inflation is on track to reach the 2% goal. It’s unlikely to happen prior to 2024. By then, the economy is likely to experience a considerable decline that will impact nearly every household.

Scott Wren, senior global market strategist, commented:

"Some investors may be focused on whether the Fed will hike rates 25 basis points one or two more times. To us, that is splitting hairs, and we choose to focus on the slowdown in the economy and earnings."