Despite the U.S. economy contracting for the second quarter in a row, the stock market moved slightly higher on Thursday.
A recession isn't on the cards just yet, despite gloomy economic data.
The Dow Jones Industrial Average rose less than 100 points, but the S&P 500 and the tech-laden Nasdaq were up.
According to new data from the Bureau of Economic Analysis, the U.S. economy has fallen into a technical recession.
Many experts argue that the economy is not yet in a full recession because of the strong labor market and solid consumer spending.
The economy didn't look like it was in a recession with solid job growth in the first half of the year.
Meta's shares fell nearly 6 percent on Thursday after the company warned of weak advertising demand due to the challenging economic environment.
Stanley Black & Decker saw its stock plunge 15% after management slashed its profit outlook, while shares of Comcast fell nearly 10% after the company failed to add subscribers.
On Wednesday, stocks surged higher on the back of a widely expected 75-basis point interest rate hike from the Fed. If inflation starts to come down, the Fed may be able to slow the pace of rate hikes later this year. Most experts think there will be a 50 basis point increase in September.
It will be a close call if the U.S. economy is able to avoid a recession due to a number of factors. He predicts that Europe's energy crisis will cause the U.S. to fall into a recession.
The latest data has implications for the Federal Reserve's policy going forward, according to Jeffrey Roach. The decline in real growth will be interpreted by the Fed as confirmation to slow down the pace of rate hikes at the upcoming meetings, which could eventually mean smaller hikes in the near future.
The economy fell 0.9% in the last quarter as experts warned that it would get worse.
The stock market jumped 400 points after the Fed hiked rates.
Facebook parent shares fall after the company says it doesn't have enough advertising demand.
The International Monetary Fund has a gloomy outlook for the global economy.
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