Moody's Analytics chief economist Mark Zandi warns of an impending recession, citing weak jobs data and other economic indicators. July's payroll growth was significantly lower than expected, and revisions to previous months' figures further paint a grim picture. Consumer spending has plateaued, construction and manufacturing are contracting, and inflation is rising, hindering the Fed's ability to intervene. Zandi blames US tariffs and restrictive immigration policies for the economic slowdown, noting a hiring freeze and shrinking labor force. JPMorgan economists concur, citing cooling private sector hiring as a recession warning sign.

Prepared by Christopher Adams and reviewed by editorial team.