https://www.businessinsider.com/recession-outlook-us-economy-job-market-unemployment-soft-landing-citi-2024-2?amp People are celebrating the stock market being propped up by a grand total of 5-10 names everyday but are forgetting the bigger picture of why it is happening, right now as we speak, investors and big banks are pricing in huge layoffs coming later this year to keep the inertia and momentum of its stronger profits and balance sheets going. Thank the Fed who printed $10T during Covid , tech companies hired tons of people in order to show more revenue growth. Now when Fed realized they made a big mistake and let inflation run for 2 years. They tightened and will keep it tightened until there is another black sheep event like Covid. In the meantime, investors are now focused on profit and productivity over revenue growth, hence companies are spending their CAPEX money on AI chips and productivity tools. So the money for CAPEX needs to come from somewhere, and it’s coming from laying off people which is the biggest expense of any company. Tech has already been in a recession for a while now, where seniors with 5 years of experience are applying for entry levels roles and college level grads are unemployed. Don’t believe me? Go to a job application which pays a decent money , and every job application has hundreds or even thousands of people applying Tech boom is over and hard times are ahead. Once AI sets its footing in a few months or year, I think this upcoming recession will be the worst of our lifetimes putting 2007-08 like a child’s play, With 25%-30% people going unemployed and mass foreclosures TC: 200k NW: 1.5M+ #tech
Recession is coming mid 2024 No more hopes of soft landing
For those who worked in tech for 10 years+, they accumulated huge amounts of money. That’s why they were paying all cash for 1M+ houses during pandemic. They will be fine even being laid off.
Wb the youngins yo?
Recessions come and go. That's how we make money on RSUs and ESPP lookbacks.
Even a broken clock is right twice a day. There won’t be a recession and tech is not in a recession. Look at stock prices and revenue. Capex spending is also up.
Recession is a great opportunity but only if you have low debt and a lot of cash.
Stop living life in fear
I hope we are done with it soon. The situation seems like a stretched 2008. Everyone was like not we are good nothing will happen and then everything tanked after a high. Hope this is the highest point before we crash.
The high interest rates haven’t stopped anyone from buying real estate. I agree with most of your points but we stopped playing by the rules a long time ago.
Uk, Japan, china already in recession. Only a matter of time 🕰️
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They've been calling for a recession for 3 years. Sure, they will eventually be right but this may or may not be the time.
There is already a recession in tech. Unless you are one of those who believe the fraud job numbers report where they count temp jobs and service/retail jobs paying $10/hr in the final report
This is not a recession. It's just a correction from an insanely hot job market for the last few years. You clearly haven't been through a recession before.