Is There Going to Be a 2020 Recession? What it Means for Public Investors

Is There Going to Be a 2020 Recession? What it Means for Public Investors

No one knows the future and no one can say with certainty when the next recession will be.

Of course, there is always the chance of a 2020 recession, but how can we know for sure how likely it is that it could happen?

You may hear about a prophecy in the news or may hear a colleague talk about their own guesses, but how can you make your own educated guess without doing the research? The answer is that you cannot. 

Keep reading to find out more about the chances of a recession hitting our country in 2020.

The History to Consider

We are always told to remember history so that we do not repeat it.

In many cases, there are clear signs that a recession may be coming due to the same things happening before previous recessions began.

For instance, anxious investors will start to ask for more long-term bonds and less short-term bonds. Usually the yield for a short-term bond is less than a long-term bond, but sometimes the rates may flip. This is called a yield curve inversion and is generally a sign of a looming recession.

Another indicator may be that wages are going up. This sounds like a good thing though, right?

In reality, when wages go up, businesses start to lose money and are able to fewer less people. This leads to more unemployment, loss of income for businesses, and a lack of sustainability.

Lastly, when people stop buying houses, construction workers stop finding jobs, and businesses are unable to keep going. These are all signs that something is wrong. Remember to take a look at the big picture and if you don’t know what it looks like, this may mean that the future is very uncertain financially.

2020 Recession: How Likely Is It?

According to some, the recession is imminent. Others believe it is a possibility, but it may not happen. It depends on which facts you are looking at.

For example, many experts are guessing that a recession is very likely. These are people from all across the country in different areas that have done independent research.

These are individuals that are using the information they have gathered, along with their own personal knowledge and expertise, to make these assumptions.

Some believe a recession may occur in the year 2019 versus the year 2020. They think it won’t happen in 2020, but is actually going to begin the later months of 2019.

Another example is experts that are guessing the recession will hit, but not until after 2021. They also have their own independent research and opinions that make sense.

Things for Investors to Consider

As you can see, there is no one complete answer to the question. A recession is possible in 2020, but it may not happen.

Truthfully, a big part of whether or not the recession hits is how nervous businesses and investors get, but also whether or not they act on those nerves.

Make smart decisions, recession or no recession, and you will be able to come out on top. Consider stock loans if necessary and think about how they may be able to help you in the event of a recession

Handling the Future

Regardless of whatever does happen, the future is coming. If a 2020 recession does occur, you want to make sure that you are ready.

Start by doing the research now and knowing what you need for your own financial future.

If you would like to get in touch with a specialist to discuss your financial options and the possibilities of a loan in the future, feel free to contact us. We would love to help you secure what you need.

Stock Loan Solutions, LLC
6582 South Big Cottonwood Canyon Road, Ste 200
Salt Lake CityUT 84121 USA

The information contained herein is presented solely for the purposes of discussion and under no circumstances should this be considered an offer to buy or a solicitation of an offer to sell any security. Stock Loan Solutions is not a registered securities broker-dealer or an investment adviser with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. Stock Loan Solutions, its managers or affiliates have not been registered and do not plan to be registered under the Investment Advisers Act of 1940 or any similar state or foreign securities laws. Stock Loan Solutions is not registered under the Investment Company Act of 1940 or under any similar state or international securities laws. Stock Loan Solutions does not offer any form of investment (buy or sell) advice, tax counseling, estate planning, or any other securities or financial advice whatsoever. No statements on this website or any verbal or written statement by any representative shall be construed as such advice. We are neither licensed nor qualified to provide investment advice.

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