Experts' predictions about recessions, 2020 presidential election: What today's news means for your money

Economists predict when the current recession might end, while stock strategists look ahead to market turbulence around the 2020 presidential election.


Recession and election predictions are making news today. Here's how the headlines could affect your money:

Economists watch for signs of recovery

Two-thirds of economists think America has not yet come out of the recession that began in February, according to the National Association for Business Economics. About a third (35%) predict that will happen this year while another third (34%) assume it'll happen in 2021. 

Eight in 10 of the economists surveyed see a 25% or greater chance that the economic recovery could be short-lived and send the U.S. into a double-dip recession. That said, recessions are notoriously difficult to predict

How do economic cycles work?

Video by Courtney Stith

Strategists predict how the market will react to the election

Stock market strategists are split on how the presidential election could affect the market, according to a new CNBC poll. Half of the 20 strategists polled expect the S&P 500 to decline in the month after Election Day, while five expect a rally. 

Whatever the market reaction, it's likely to be short term. Look long term and you'll see the market tends to be resilient no matter which party is in office: Since 1928, only three presidents have seen the market decline over their tenure.

Come up with a vacation day plan

Workers have made fewer time-off requests this year compared to last year due to the pandemic, according to Zenefits data cited by The Wall Street Journal. While some companies have relaxed rollover policies, others are requiring workers use at least some of their accrued days.

It's a good nudge to schedule some time off. Check company policy around rolling over or cashing out unused days, too. Creating a plan can help ensure you don't lose out — or burn out. 

Words you've heard: Double-dip recession

A double-dip recession, also called a W-shaped recession, is a set of back-to-back recessions with a brief period of economic recovery in between. While recessions are a normal part of the economic cycle, double dips are unusual: The last time the U.S. experienced one was in the 1980s, when there were two recessions between 1980 and 1982. 

Although the daily news can have an impact on your wallet, remember to take a long-term outlook when it comes to decisions on spending, saving, and investing.

More from Grow:

acorns+cnbcacorns cnbc

Join Acorns


About Us

Learn More

Follow Us

All investments involve risk, including loss of principal. The contents presented herein are provided for general investment education and informational purposes only and do not constitute an offer to sell or a solicitation to buy any specific securities or engage in any particular investment strategy. Acorns is not engaged in rendering any tax, legal, or accounting advice. Please consult with a qualified professional for this type of advice.

Any references to past performance, regarding financial markets or otherwise, do not indicate or guarantee future results. Forward-looking statements, including without limitations investment outcomes and projections, are hypothetical and educational in nature. The results of any hypothetical projections can and may differ from actual investment results had the strategies been deployed in actual securities accounts. It is not possible to invest directly in an index.

Advisory services offered by Acorns Advisers, LLC (“Acorns Advisers”), an investment adviser registered with the U.S. Securities and Exchange Commission (“SEC”). Brokerage and custody services are provided to clients of Acorns Advisers by Acorns Securities, LLC (“Acorns Securities”), a broker-dealer registered with the SEC and a member of the Financial Industry Regulatory Authority, Inc. (“FINRA”) and the Securities Investor Protection Corporation (“SIPC”). Acorns Pay, LLC (“Acorns Pay”) manages Acorns’s demand deposit and other banking products in partnership with Lincoln Savings Bank, a bank chartered under the laws of Iowa and member FDIC. Acorns Advisers, Acorns Securities, and Acorns Pay are subsidiaries of Acorns Grow Incorporated (collectively “Acorns”). “Acorns,” the Acorns logo and “Invest the Change” are registered trademarks of Acorns Grow Incorporated. Copyright © 2021 Acorns and/or its affiliates.

NBCUniversal and Comcast Ventures are investors in Acorns Grow Incorporated.