'Nothing to suggest' US will have a recession: Yellen

Despite high inflation, the United States is not likely to suffer an economic downturn.

She said there was nothing to suggest there was a recession in the works.

The US economy has recovered from the Covid-19 damage but the highest inflation in four decades and supply chain snarls are increasing pessimism.

The May consumer price index report will be released by the US Labor Department on Friday, and analysts expect it to show a modest slowdown in the annual rate of inflation.

The Federal Reserve has begun raising interest rates and is expected to do so again next week.

Yellen is confident they will succeed.

She believes there is a path through which to land.

Fears of a recession have increased as a result of the Fed's actions.

At the forum, there was a question about a possible downturn.

There is a chance of a recession. The treasury secretary said there was a recession risk. Is it possible? I don't believe that.

"I don't have a lot of time for her, but I'm alive," she said.

Powell said the US economy is strong enough to weather higher borrowing costs.

To/hs.