The voices chanting ‘recession’ are thundering throughout Wall Street and it appears as if the screams are getting louder and louder with every passing day. But how valid is the information being spewed?

And for every economist who insists that a recession is just around the corner, there is another economist right there with them saying the exact opposite.

According to the Wall Street Journal, the Dow Jones Industrial Average fell to 8.4 percent below its all-time high, which was set just this past October. At the same time, safe-haven Treasuries bounced back strong.

According to an economic outlook that was released by the Federal Reserve Board, the worst is over for the subprime debacle and the credit market now has absolutely nowhere to go but up. Published reports suggest that the US economy is currently poised to grow between 1.8 percent and 2.5 percent over the course of the next year.

For the chief risk officer wondering what’s looming around the corner in 2008, apparently, it may not make too much sense to listen to what’s being said on either side of the fence.

As Federal Reserve Chairman Ben Bernanke points out, economists, although extremely knowledgeable, are not the best people in the world when it comes to accurate predictions.

"Economists are extremely bad at predicting turning points, and we don't pretend to be any better," noted Bernanke.

And the concern is not just domestic. If the US continues to take a beating on Wall Street, the oceans that border our two coasts will not be enough to prevent the damage from stretching its legs overseas.

Every time we suffer on our soil, the global economic community suffers just as badly.

It is also extremely important to point out that the horrific conditions surrounding the US housing market are not enough to cripple the US economy… at least not all on their own.

Unfortunately, there are a lot of other factors that investors need to be concerned about. If all of the major investment banks continue their careless lending and, as a result, are unable to issue any more consumer loans, the US economy will be hit hard (and quick).

If gas prices continue to soar past $100 a barrel and if consumers are still reluctant to open their wallets and pour money into the economy, things won’t exactly be looking up in 2008.

To subscribe or visit go to:  http://www.riskcenter.com