Fannie Mae’s February Forecast

The Fannie Mae Economic and Strategic Research group predicts the US economy will likely fall into a modest recession in the 2^nd quarter of 2023 due to rising inflation, unsustainably high consumer spending, and declining monetary aggregates.

Recent data showed unexpected economic strength, but they predicted this could lead to tighter monetary policy + increased interest rates. Housing started on a high note this year, but between affordability constraints, low inventory, and rising mortgage are expected to soften housing starts activity + limit home sales for the upcoming months.

Read the full news report here: https://www.fanniemae.com/newsroom/fannie-mae-news/economy-surprisingly-strong-start-2023-its-not-expected-last