Tesla and Spacex CEO Elon Musk expect a global recession to last until the spring of 2024. Musk added that his two companies are in good positions, but many others are not. “Recessions have a silver lining in that companies that shouldn’t exist cease to exist,” the Tesla CEO said.
Elon Musk on global recession
Tesla CEO Elon Musk shared his thoughts on a global recession in a Twitter thread on Friday. The thread was started by Dogecoin co-creator Billy Markus who tweeted: “Coronavirus numbers are actually pretty low. I guess all we have to worry about now is the impending global recession and nuclear apocalypse.” Musk commented: “It sure would be nice to have a year without a terrible global event.”
Another Twitter user chimed in and asked Musk, “How long do you think the downturns will last?” The Tesla CEO replied, “Just guessing, but probably in the spring of ’24.”
The same Twitter user followed up with the question: “How much worse do you think it will get? A little worse or a lot worse?” Musk replied:
Varies a lot. Tesla & Spacex are in good positions, but many other companies are not. Recessions have a silver lining in that companies that should not exist cease to exist.
During Tesla’s third-quarter earnings call on Wednesday, Musk said that “China is experiencing a kind of recession” and “Europe is having a kind of recession driven by energy.” Meanwhile, “North America is in pretty good health, even though the Fed is raising rates more than they should, but I think eventually they will realize that and bring them back down,” he noted.
In August, Musk said that inflation has peaked, but we will have a recession for 18 months.
Many expect the US economy to fall into recession. A recent survey shows that 98% of CEOs are preparing for a recession in the US, while 99% are preparing for a recession in the EU.
Goldman Sachs CEO David Solomon said this week that there is a good chance of a US recession. JP Morgan Chase CEO Jamie Dimon recently warned that a recession could hit the US economy in six months.
Renowned investor Jim Rogers believes the recession will be the worst of his lifetime. Gold bug and economist Peter Schiff warned that the Federal Reserve’s action could lead to a market crash, massive financial crisis and a severe recession.
Do you agree with Tesla CEO Elon Musk about a global recession? Let us know in the comments section below.
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