U.S. economy already in recession: experts

NEW YORK, June 28 (Xinhua) -- The U.S. economy is already in a recession and its gross domestic product (GDP) growth in the first half of 2022 will be negative, according to multiple U.S. experts.

Stephen Moore, a distinguished fellow in economics with the Heritage Foundation, said the United States is already in a "soft recession" and its GDP probably declined 1 percent from six months ago.

In an interview with Fox Business on Monday, Moore said that people's incomes in real terms are falling fast at a rate of around 2,000 to 3,000 U.S. dollars per year.

Both Cathie Wood, chief executive officer with ARK Investment Management LLC and Jeremy Siegel, professor of finance at the Wharton School of the University of Pennsylvania, echoed the view on Tuesday, saying the United States is already in the middle of a recession.

"We think we are in a recession ... We think a big problem out there is inventories," said Wood.

The United States is in a mild recession with anticipated negative GDP growth in the first half and the slowdown is going to continue into the third quarter, according to Siegel.

The U.S. economy in the first quarter of 2022 shrank 1.5 percent from the previous quarter on an annualized basis, according to the second estimate by the U.S. Department of Commerce.

The real question facing the United States is whether it's going to be a soft landing or a crash landing, according to Moore.

A recession is "almost inevitable" in the next two years, according to former U.S. Treasury Secretary Larry Summers.

Still, New York Fed President John Williams said on Tuesday that the U.S. economy will slow a bit, but a recession can be avoided.

"A recession is not my base case right now. I think the economy is strong," said Williams.