Former NY Fed president: Recession "pretty likely"

The United States will “pretty likely” endure an economic recession in the coming months, stemming from what the Federal Reserve has already done to tamper down inflation, New York Fed President William Dudley told Bloomberg on Tuesday.

Dudley, a senior adviser to Bloomberg Economics, also said the presumptive recession likely would not be a severe slowdown.

“A recession is pretty likely just because of what the Fed has to do,” said Dudley in an interview on Bloomberg Surveillance. “But what’s different this time, I think, is that if we have a recession, it’s going to be a Fed-induced recession and the Fed can end the recession by subsequently easing monetary policy.”