Personally, I feel more optimistic about the economy in 2023 than I have been about the economy from the summer to the winter of 2022.  Several large institutions have recently come out and announced that there will be mild recession in 2023.  JP Morgan just made their opinion clear that they predict a mild recession.  Bank of America performed a survey of its top fund managers.  77% of them predicted a recession in 2023.  The fund managers believe that the US will escape the worst of the global recession, but there ill be a recession.  Morgan Stanley thinks that we will just miss a recession in 2023 but that the job market will take a downturn in 2023.  The fund manager, Black Rock, was less optimistic as they believe that the Federal Reserve will keep raising rates until they see clear economic damage from higher interest rates.

One bit of good news from November is that inflation went down in November from 8.2% to 7.7%.  That move in inflation made banks more confident in lending money.  Banks are lending money at lower interest rates now than 1 month ago.  The vice Chair of the Federal Reserve, when interviewed by Bloomberg, spoke of a slowdown in rate hikes in 2023.  The Federal Reserve has a goal of lowering inflation to 2%, so there will still be rises in interest rates in 2023.