The US economy will slow as Americans blow through their savings and shrink investments while battling tighter financial conditions, according to Pantheon Macroeconomics' chief economist Ian Shepherdson.
"It would be dangerous … to extrapolate that apparent strength in the first quarter into an expectation of a decent spring and summer," Shepherd said in a note on Thursday, adding that key areas of the economy were already starting to slump.built up since the pandemic, Americans have already blown through over $1 trillion of that amount, Shepherdson estimated. That means the buffer of extra cash cushioning the economy is now less than half of what it was at its peak.
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