Millions of Americans will lose their job in 2024, warns CBO report. Details here

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ALSO READ: Google CEO Sundar Pichai opens up on company's biggest layoff in 25 years: ‘We could have done differently’ Although slightly more optimistic than the CBO, the Federal Reserve had a similar outlook for the economy in 2024. It predicted that the real GDP growth would slow down to 1.4 percent in 2024, before rebounding in the following years. The Fed also expected the unemployment rate to increase to 4.1 percent by the end of 2024, which was lower than the CBO’s estimate, reported Hindustan Times.

In its report, the CBO said the CBIO said that the FED may respond to the weakening economy and the falling inflation by cutting interest rates sometime after March of 2024. Estimating the inflation rate would decline to 2.1 percent in 2024, the CBO reports said that it is closer to the Fed’s target of 2 percent. Since its previous report in February, the CBO has revised its economic outlook downward, citing slower-than-expected growth in consumption, investment, and exports.

Last week, the chief equity strategist at LPL Financial Jeffrey Buchbinder said, as quoted to Newsweek, that the Fed’s decision to cut rates would be a sign that the recession was imminent or already underway. “The Fed will cut rates because it worries monetary policy is too restrictive for a weakening economy," Buchbinder said. “The central bank’s goal remains a soft landing, and their spotty track record in achieving that goal does not mean a hard landing is necessarily in the cards." He added that if a recession did occur in 2024, it would likely be mild, as the U.S.