CHARLESTON, WV (WOWK) — One of America’s largest credit agencies is warning the United States is headed for a mild recession early next year.
Fueled by record-high prices at the gas pumps and sharp cost increase at the grocery store, inflation remains above 8% for the first time in 40 years. Now, Fitch Ratings, one of the top three credit agencies in the country, says the U.S. will officially be in recession early next year.
Many lawmakers, especially Republicans, say if the U.S. was energy independent, prices would come down. They blame the White House.
“I think, thanks to the policies that the president has put forward, I am very concerned about it. I believe we probably are already in a recession. We’re predicted to be. And who does that hurt? The people who can least afford it. The people who really have to watch out what they are spending for a head of lettuce, or a loaf of bread, or a dozen eggs,” said Sen. Shelley Moore Capito, (R) West Virginia.
On the other hand, many Democrats blame big Republican tax cuts from five years ago for triggering an economic downturn. Many analysts predict the economy will be the top issue in the November election, which is just three weeks from Tuesday.
In its report today, Oct. 18, 2022, Fitch Ratings predicted a recession next year will spike unemployment back up to 5.2%, from the current 3.5%.