Goldman Sachs has raised the probability of a US recession to 45% amid worries about President Trump’s proposed tariffs and their impact on the global economy. JP Morgan and other major investment banks have also upped their predictions of a recession. As a result, Goldman Sachs is now expecting the Federal Reserve to start reducing interest rates in June. This shift in economic forecasts comes as trade tensions between the US and China continue to escalate, leading to concerns about the potential effects on businesses and consumers. The uncertain outlook has investors and analysts closely monitoring developments in the ongoing trade negotiations and their implications for financial markets. Keep an eye on how these factors could influence the future direction of the US economy and global markets.