
Bonds are no longer acting as a hedge for stocks, says Goldman's Jonny Fine
Jonny Fine, Goldman Sachs head of investment grade credit, joins 'Squawk on the Street' to discuss if Jamie Dimon is right to raise the alarm about the bond market, if there's a demand problem on U.S. bonds and much more.

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Alex Karp on AI's labor impact: If we work very, very hard it 'can be' net accretive
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J.P. Morgan Says the Probability of a Recession Has Fallen: Should You Prepare for One Anyway?
When President Donald Trump announced his sweeping tariff plans a couple of months ago, economists at J.P. Morgan put the probability of a U.S. recession at 60% because of the prospect of a global trade war and skyrocketing prices. Since then, Trump has backed off or delayed many of those plans, and J.P. Morgan has lowered its recession odds to a 'toss-up' and now suggests a recession might not happen at all. But the investment bank still expects the economy to face some rough patches — meaning Americans should probably still prepare for the possibility of recession. 'The recent backtrack on U.S.-China tariffs has altered our thinking in two important ways,' Joseph Lupton, a global economist at J.P. Morgan, noted in a May 27 report. 'First, the size of the tariff tax hike has been scaled down, imparting less of a purchasing power squeeze. Second, the quick unilateral tariff reversal by President Trump is signaling less tolerance for 'short-term pain, long-term gain.'' Check Out: Read Next: As a result, Lupton added, 'We no longer see a U.S. recession, but expect material headwinds to keep growth weak through the rest of this year.' Other brokerages have offered similar views in recent weeks. As Reuters reported on May 13, Goldman Sachs lowered its U.S. recession forecast to 35% from 45%, while Barclays 'dismissed recession risks entirely.' But others still see a challenging environment simply because Trump keeps shifting his tariff plans. '[We've] never had a situation where you have no idea where the average tariff rate is going to be a few months from now,' Pulitzer Prize-winning economist Paul Krugman said in an April interview on Bloomberg Talks. 'This creates an impossible environment for business.' See More: Although experts have lowered the odds of a recession — at least this year — there's nothing wrong with preparing for one anyway. Trump seems determined to keep pursuing tariffs, and many of those tariffs are likely to lead to higher prices and economic uncertainty, experts say. If you're worried about a recession, here are a few ways to prepare: Spend less on nonessentials: This is an especially good strategy during periods of high inflation. Review your budget and determine which items you can cut, then put the extra money toward essentials or savings. Boost your emergency fund: Recessions often lead to layoffs, hiring freezes and pay freezes. This makes it important to build a bigger emergency fund to protect yourself against sudden changes in income or job status. Stick to your investment strategy: The stock markets tend to get rocky during recessions, but that doesn't mean you should make dramatic changes to your strategy. The best way to prepare for a recession is to keep a diversified portfolio that includes stocks, bonds, cash and cash equivalents, and alternative investments such as real estate. Beyond that, you should stay the course with your portfolio to avoid locking in losses or facing tax consequences. Pay down high-interest debt. This is also a good time to pay down credit cards and student loans to ensure you are not stuck with a lot of high-interest debt when a recession rolls around. More From GOBankingRates 6 Big Shakeups Coming to Social Security in 2025 The New Retirement Problem Boomers Are Facing This article originally appeared on J.P. Morgan Says the Probability of a Recession Has Fallen: Should You Prepare for One Anyway? Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data


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Alex Karp on AI: Either we win or China will win
Alex Karp, Palantir CEO, and Chris Johnson, Teletracking co-CEO, joins 'Squawk on the Street' to discuss if Palantir's business can sustain its growth, Teletracking's business in light of its recent partnership and much more.