Goldman Sachs: U.S. Economy May Be ‘Very Bad’ Over the Next Six to Nine Months

Goldman Sachs (GS) believes the U.S. economy is likely to be “fairly bad” or “very bad” over the next six to nine months.

Bloomberg: “We see two main scenarios,” analysts led by Jan Hatzius, the New York-based chief U.S. economist at the company, wrote in an e-mail to clients. “A fairly bad one in which the economy grows at a 1 1/2 percent to 2 percent rate through the middle of next year and the unemployment rate rises moderately to 10 percent, and a very bad one in which the economy returns to an outright recession.”

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