President Trump and two of his senior economic advisers on Sunday played down the risk of a recession after a tumultuous week in the markets suggested that the economy is heading onto shaky ground.
In an exchange with reporters in Morristown, N.J., shortly before taking off for Washington on Sunday evening, Trump dismissed the notion that the nation is headed toward a downturn, saying, “I don’t see a recession.”
“I mean, the world is in a recession right now — although that’s too big a statement,” he added, in a remark that appeared to undercut his effort to calm fears.
Earlier Sunday, Larry Kudlow, director of the National Economic Council, and White House trade director Peter Navarro between them appeared on all five morning talk shows to defend the president’s economic record and argue that his trade offensive against China isn’t harming American producers or consumers.
Their push came days after bond market investors sent a powerful signal that they see a potential downturn looming, and economists from Wall Street and beyond further whittled growth forecasts for a record-length economic expansion that appears to be slowing.
“I don’t see a recession at all,” Kudlow said on “Fox News Sunday.” On NBC’s “Meet the Press,” he urged Americans, “Let’s not be afraid of optimism.”
“Consumers are working at higher wages,” Kudlow said. “They are spending at a rapid pace. They’re actually saving also while they’re spending. That’s an ideal situation. So I think actually the second half, the economy’s going to be very good in 2019.”
On ABC News’s “This Week With George Stephanopoulos,” Navarro maintained that a recession could be staved off if the Federal Reserve stops raising interest rates and banks in Europe and China make similar moves.
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