FILE PHOTO: Bank of America CEO Brian Moynihan attends the World Economic Forum (WEF) annual assembly in Davos, Switzerland, January 22, 2019. REUTERS/Arnd Wiegmann
(Reuters) – Bank of America Corp (BAC.N) Chief Executive Officer Brian Moynihan on Wednesday performed down fears of a possible U.S. recession, saying sturdy shopper spending might maintain the economic system rising.
“The underlying consumer is doing well and making more money. More importantly, they’re spending more money,” Moynihan mentioned in a CNBC interview.
Fears of a U.S. recession have escalated on the again of a protracted commerce struggle between the United States and China, with yields on 2-year and 10-year Treasury notes final week inverting for the primary time since 2007 in a traditional recessionary sign.
Moynihan, nevertheless, mentioned the yield curve doesn’t have to point recession.
Reporting by Bharath Manjesh in Bengaluru; Editing by Saumyadeb Chakrabarty