Steve Eisman, who shorted subprime mortgages ahead of the 2008 crash, says the American middle class is showing signs of stress as gas prices erode household budgets following a strong tax refund season.
Prediction markets do not yet agree.
Polymarket traders are pricing the odds of a U.S. recession by the end of 2026 at just 12%, with negative GDP growth in 2026 sitting at 11%.
The K Is Now A 'Limping E' Speaking on the latest Real Eisman Playbook podcast, the investor sat down with three Evercore consumer analysts who told him the K-shaped economy has evolved into something uglier.
Greg Melich, who covers Walmart (NYSE:WMT), Costco (NASDAQ:COST) and Home Depot (NYSE:HD), said the low end has always been pressured but the squeeze has crept upward.
