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Global market crash: Goldman Sachs increases recession odds to 45% after market meltdown

Video Credit: Oneindia - Duration: 03:04s - Published
Global market crash: Goldman Sachs increases recession odds to 45% after market meltdown

Global market crash: Goldman Sachs increases recession odds to 45% after market meltdown

Goldman Sachs has raised the odds of a major US and global recession, warning that President Trump’s new tariffs could trigger a sharp economic downturn.

Amid rising market panic and tightening financial conditions, Goldman forecasts a 45% chance of recession and slashes the US growth forecast for 2025 to 0.5%.

The move comes after a global market meltdown, with China experiencing its biggest crash since 2008 and the EU facing harsh tariffs of 20%.

Meanwhile, JPMorgan highlights US trade policies as the biggest risk to the global economic outlook, as retaliation, supply chain disruptions, and business uncertainty intensify.

With Wall Street witnessing a $6.6 trillion wipeout in just two days, investor Bill Ackman warns that these policies could lead to an "economic nuclear winter." As countries like Canada and the EU consider stronger responses, the global trade landscape enters a volatile new phase.

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