IMF warns of possible global recession and hard landing for US economy.

The IMF has warned that a US economic downturn remains "within the realm of possibilities," despite encouraging data to the upside. The IMF had been surprised by the strength of the US labor market and consumer spending, prompting it to revise up its economic growth forecasts for the country. However, the economy remains in a precarious position, with little room for error, and the risks of a hard landing remain. The Federal Reserve's ongoing interest rate hikes could prompt a shift from growth to low or even negative growth, but central banks have so far been striking a good balance.