JPMorgan Cuts Economic Growth Forecasts ‘Perilously Close’ to Recession

JPMorgan Chase & Co. economists cut their U.S. mid-year economic growth forecasts after an influx of weaker data this week — most notably a slowdown in consumer spending.

The Wall Street bank reduced its estimate for annualized gross domestic product growth to 1% for the second quarter, down from 2.5% previously. This quarter is also seen at 1%, down from 2%.

Growth will tick up to 1.5% in the final three months of the year, helped by stronger car production and lower inflation, the bank’s economists said.