United States has reached the state of recession and it is expected by the former adviser to White House and former executive Gary Cohn that the unemployment numbers are going to soar which will need the country many dollars to solve.
As the markets are in turmoil and the companies announce many streams of layoffs, the former executive said that the economy has been facing a major downturn.
He said that the consumer cannot be removed from the economy of United States and it cannot be said that the economy is not in a state of recession. The markets are in a turmoil and many companies have been announcing a lot of layoffs.
It has been forecast by the experts at Wall Street that the rate of unemployment is expected to be soaring way past the level of 10% in the shorter order even if it had been recently there at a low of 50 years at a level of 3.5%. The loss of job estimates have been going down into millions and are expected to be the quickest move which has been seen by the United States.
The administration and Congress are working on the stimulus which has been expected to a lot more than any of the packages earlier announced as per Cohn and the uncertainty about this package has also been causing a market turmoil
He further said that a major issues which would have to be solved before the rally of the market is the issue of the credit market and the muni issue, and what the treasury is going to be issuing to pay for everything that the congress is going through as of now.