Economists Upgrade Growth Outlook, Lower Recession Risk Despite Persistent Inflation

Economists raised US growth projections through early 2024 and reduced recession odds.

The economy likely expanded at an annualized 3.5% rate in Q3, the fastest in nearly two years.

Forecasters marked up household spending forecasts.

Economists now see even odds of a recession in the next year.

Respondents see core PCE inflation averaging 2.6% in 2024.

Fed is seen slowing pace of rate cuts in 2023 despite strong economic data.