Possible scenario
Slowdown Without Recession
22% Chance
Growth cools into year-end but does not contract broadly enough to meet recession criteria. This path fits a late-cycle economy where labor demand softens and rate-sensitive sectors struggle, while services and household balance sheets prevent a formal downturn.
Initial impacts
- Riskier companies' borrowing costs Up
- Market volatility Up
- 10-year Treasury yield Down
- US dollar Up
Secondary impacts
- Consumer Cyclicals -0.6%
- Finance -0.2%
Portfolio impact
S&P 500-0.4%
Each figure is the modeled move of the S&P 500 if the outcome occurs. For information only. Not investment advice.
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