PIMCO says a US recession is its base case, possibility it's a deep one

Add this to the recession calls for the US economy.

Via PIMCO head of agency mortgage portfolio management Hyman:

• a recession is looking likely for the US
• “That’s now our base case"
• "If you look back at historical hiking cycles that’s typically how they end, they cause a recession,”
• “ .... this time we think there’s potential for it to go a bit deeper”
• " .... our base case is for a modest recession, the possibility of a deeper recession is still there.”

Citing:

• "Central banks are done with most of the tightening through rate hikes, especially in the US where we think the US Central Bank is likely to pause from here. It’s also important to recognise that the tightening isn’t done. We have Central Banks around the globe raising interest rates. We also have quantitive tightening still taking place.”