August 1, 2024
ScrippsNews‘ TV Show, Main & Wall recently interviewed Jay Zagorsky, Clinical Associate Professor of Markets, Public Policy, and Law, discussing the recent stock market downturn.
Despite favorable factors such as anticipated rate cuts and positive productivity numbers, the market saw a sharp decline. Slight declines in the Dow Jones Industrial Average (Dow) are not a cause to panic, yet many Americans fear a recession.
“Because of the resilience of the American economy, and because I think the Federal Reserve is doing a pretty good job, I’m not overly concerned. Is the economy slowing down from where it was 6 months ago? The data seems pretty clear. Yes, but should that be reason for everyone to panic? I don’t think so,” Zagorsky adds.
While political considerations may influence decisions, the Fed will likely act based on comprehensive economic data rather than short-term reports.
