White House economic advisor Larry Kudlow rejected the notion that the U.S. economy is faltering, despite data last week that indicated the country may be headed toward a recession.
Kudlow told Fox News Sunday that there is, quote, "no recession in sight," and that the U.S. remained in "pretty good shape." His comments follow a rocky week for markets driven by a key bond indicator seen as a possible sign of an impending recession.
Investors also fear a global slowdown due to the U.S.-China trade war.
Kudlow said trade deputies from the two countries would speak within 10 days and if the meetings pan out Chinese officials would likely come to the U.S. to advance negotiations over ending the trade dispute.
But on CBS's Face the Nation Sunday, entrepreneur and Democratic presidential candidate Andrew Yang said Trump's tariffs have already wreaked havoc on the global economy.
(SOUNDBITE) (ENGLISH) PRESIDENTIAL CANDIDATE ANDREW YANG SAYING: "The tariffs and the trade war are the wrong way to go.
// I was just in Iowa last week and the farmers and producers there are losing business there--they feel betrayed by President Trump.
We need to curb some of the abuses on the Chinese side.
But the trade war is leading the global economy in the wrong direction." A slowdown would be bad news for Trump, who is building his 2020 bid for a second term around the economy's performance, and who echoed Kudlow's comments Sunday (August 18).
The president and his advisers have repeatedly accused the Federal Reserve of undermining Trump's policies by moving too slowly to cut interest rates.
The Fed meets next month and is expected to further cut rates.