Economists at financial giant Goldman Sachs have raised the likelihood of a recession in the United States in the next 12 months from 15 percent to 25 percent, according to a report to its clients on Sunday.
The 10-percentage-point hike is higher than their previous forecast.
The report also says that the U.S. economy seems to be "fine overall," with no major financial imbalances.
It also notes the Federal Reserve has ample room for rate cuts, adding the central bank would take quick action when necessary.
On last Friday, the U.S. Bureau of Labor Statistics released its latest jobs report that showed the U.S. unemployment rate rose by 0.2 percentage points to 4.3 percent in July, the highest level since October 2021, and the job growth slowed to 114,000.
Goldman Sachs raises US recession likelihood to 25 percent: report
Goldman Sachs raises US recession likelihood to 25 percent: report
Residents at a temporary shelter in South Korea are coming to terms with the shock of losing their homes in the worst wildfires in the country's history, with the deadly blazes which have been burning since late last month forcing tens of thousands of people to be evacuated.
The devastating fires -- which first erupted back on March 21 -- have claimed the lives of at least 30 people and injured dozens of others, while more than 3,500 houses and 30 national heritage sites have been damaged.
The flames have so far spread across more than 48,000 hectares of land, according to the Central Disaster and Safety Countermeasures Headquarters.
Shell-shocked local people have been sharing the horrifying stories of how they became overwhelmed by the fast-spreading flames and had to rush from their homes.
Jo Soo-gap, a resident of the Yeongdeok County in the severely affected North Gyeongsang Province, told the China Global Television Network (CGTN) of the moment the flames approached.
"We didn't think it would come all the way to our area. That evening, while we were at home, the wind picked up. It felt stronger than a typhoon. I thought it was getting dangerous, so l was preparing to leave with my wife. Then suddenly a neighbor shouted, 'The fire's coming! Get out now!' So we just got in the car and drove toward Pohang,” he recalled.
"When we finally returned at dawn, we found our house had completely burned down and collapsed. Other homes, even if they were mostly destroyed, still had some parts of the frame left. But ours was a two-story villa-style home, and it had completely caved in – flattened right down to its foundation. There was nothing for us left to retrieve,” lamented Jo.
He expressed the hope that the government would help him and his family, as well as the many others affected, to rebuild their homes, while issuing a clear warning to others about the dangers posed by wildfires.
"We hope recovery efforts can proceed quickly, and that the government or local authorities can provide permanent housing so we can rebuild our lives. Fire prevention is no small matter, people should never carry any flammable objects when going into the mountains or fields. I want to emphasize this very clearly," he said.
Meanwhile, Kim Woo-seok, chairman of the Pohang Medical Association, explained how medics are handling the various problems brought by the wildfires, with a particular focus being placed on the welfare of those suffering from chronic diseases.
"The most pressing concern for us is people with chronic illnesses, such as those with high blood pressure or diabetes who need to constantly take their medication. Some patients did not have time to grab their medicines during the evacuation, and the drug withdrawal can cause sudden spikes in their blood pressure or blood sugar levels. So it's crucial that we monitor and stabilize their conditions as quickly as possible,” he said.
Kim stressed that the psychological trauma brought by the wildfires is the most pressing issue, as people slowly come to terms with the significant losses they have suffered.
"However, the biggest emotional shock comes from losing one's home or seeing a loved one fall ill. Those situations can cause severe emotional trauma. People can develop symptoms like panic attacks or depression as a result. These issues require proper counseling and treatment, as the emotional stress can also cause physical symptoms, such as back pain or joint pain. Those are the common cases we see," he said.
Shell-shocked South Korean evacuees lament loss of homes in deadly wildfires
