📈 The positive real interest rates have started to work according to the credit data of the past weeks and months.
It’s especially visible in Commercial/Industrial and Automobile Loans where we can see a significant drop in Q2 2023. 💳 Consumer Loans are also showing signs of decrease, starting to take effect in Q3 2023. 👀
📉 While this has a negative impact on the GDP Growth, if the decreasing trend continues and the FED hikes rates one more time, the chance of a recession will increase significantly. 😨
🌎 Today, we’ve witnessed terrible French, German, and Eurozone Manufacturing and Services PMIs, further raising the chances of recession in the US and especially in Europe. 🇪🇺
