ilmscore | U.S. Unemployment Just Hit a New Multi-Year High - Is Recession Already Here?

Predictions from this Video

Total: 9
Correct: 6
Incorrect: 0
Pending: 3
Unrated: 0
Prediction
Topic
Status
AI is predicted to significantly reduce the need for human employees, with companies potentially replacing thousands of workers with AI agents due to cost savings.
"And then when it comes to AI, AI usage exploded in 2025 and now companies are saying, 'How about instead of having 10,000 employees, we have 3,000 employees and 7,000 AI agents or 70,000 AI agents because it's cheaper and these AI agents don't want a day off."
AI impact on jobs
Correct
The company Briefs Media is pivoting to Briefs Finance, a fintech company powered by media, due to the rapid impact of AI, with the launch of a new AI-powered investing tool planned for 2026.
"And no longer is it Briefs Media. We have transitioned into Briefs Finance because what I realized is as a financial news and research company, we were going to be bankrupt or out of business within 10 years. And then I did some more digging and I realized, oh no, we're going to be bankrupt or out of business in five years or less because of how fast AI was changing. So, we made a hard pivot in our company in 2025 to now becoming more of a fintech company powered by media and we're building powerful AI tools to help investors invest better, building powerful softwares. I mean, we've spent a lot of money and a lot of time building what I think is the most powerful tool when it comes to investing. We're launching that in 2026."
Company AI pivot
Correct
A recession will not be declared until Q1 of the following year, assuming Q3 is positive and both Q4 and Q1 are negative.
"So if Q4 is negative and then Q1 is negative which we wouldn't know until April, May, June, that is the soonest that it could be declared that we're in a recession. assuming the Q3 is positive and the Q4 and Q1 is negative."
Recession declaration
Pending
A worsening job market is expected to prompt the Federal Reserve to cut interest rates more aggressively and increase money printing, as they have already begun this process by ending quantitative tightening in late 2025.
"And now we have the situation where Wall Street is saying, hm, if the job market gets worse, that means now the Federal Reserve Bank might have to cut interest rates more aggressively to stimulate more borrowing. And the Federal Reserve Bank might have to print more money because we know that the Federal Reserve Bank has already kind of started that process in the end of 2025 of printing more money because they ended quantitative tightening, which essentially means that now they're working to print more money."
Federal Reserve actions
Correct
The 'Always Be Buying' (ABB) strategy, involving automatic regular investments into funds regardless of market conditions, is presented as a proven long-term winning strategy in passive investing.
"The way that you win when you do this type of passive investing is what I call AB. Always be buying. You set up a system where every week, every two weeks, every month, your money is automatically invested to buy these types of funds. And that has been a proven strategy to win over the long run. Assuming that you continue buying when markets are down and when markets are up because the mistake a lot of people make is markets crash and they stop buying because they panic or they sell when they think that the market's about to crash. Well, the way that you win is ABB. Always be buying and the A and always means you buy no matter what is happening."
Passive investing strategy
Pending
QQQ, an ETF tracking the NASDAQ 100 (primarily tech companies), is suggested as a more 'risk on' investment with the potential for higher long-term returns due to its volatility and exposure to the growing digital and tech sectors.
"If you want to be a little bit more risk on, then what you could do is look into investing something like QQQ. This is giving you exposure to the NASDAQ 100, which is a group of the 100 largest companies in the stock market that are not financial. So these are primarily tech companies and we know that the world is moving much more digital, much more tech, and this gives you exposure to that. Now the reason why I say more risk on is because this is much more volatile. When markets go down, this goes down more than this. When markets go up, generally this goes up more than this because well, people get excited and they want to be more speculative. So you see more speculative trading and investing happening here, but it has the potential to give you better returns over the long run assuming that well technology keeps growing and that you don't sell it at a loss."
QQQ investment
Correct
The speaker acknowledges the slowing job market due to tariffs, AI, and credit tightening, and notes that while the Fed is addressing credit tightening and AI is accelerating, tariffs are unlikely to disappear. The ultimate impact on the economy remains uncertain and will unfold over time.
"We know that the job market is slowing down. We don't know what's going to happen in the economy. We know there's a lot of reasons why the job market is going down and there's a lot of changes happening in the economy. Tariffs, AI, and credit tightening. Now some of these things are changing. We know that the Federal Reserve Bank is already working to print more money to stop the credit tightening, but we also know the AI is accelerating. We also know the tariffs don't look like they're going to be going away. These things have an impact on the job market. What is it going to do in the economy? Time is going to tell."
Job market and economy prediction
Correct
A worsening job market is seen as a positive for investors, as it is expected to trigger more government and Federal Reserve stimulus, leading to increased money creation which historically benefits investors.
"Now, Wall Street is hoping is that the job market is going to keep going down. Why? Because if that happens, then you might see more stimulus by the government and the Federal Reserve Bank. Now, here's why that matters. Because more stimulus would ultimately mean more money being created. And more money being created ultimately benefits the investor."
Stock market stimulus effect
Correct
The housing market is facing high prices, high mortgage rates, and low inventory. The Federal Reserve's three interest rate cuts in 2025 are expected by some to improve housing affordability.
"The housing market is facing a trifecta of problems. We have number one, high housing prices with number two, high mortgage rates with number three, not that many houses for sale. In response, the Federal Reserve Bank just cut interest rates for the third time in 2025. And many people are hoping this is going to make housing a little bit more affordable."
Housing market challenges
Pending