MarketCrash

Recession Probability 2026 — Is a Recession Coming?

Stop guessing. Our real-time model combines 6 proven economic indicators to calculate current recession risk. 85% historical accuracy. The smart money watches these signals — and now you can too.

Crash Risk

Growth Probability

Overall Assessment

Crash Risk Indicators

These 3 indicators have historically preceded major market crashes and recessions.

Growth Probability Indicators

These 3 indicators track monetary conditions and economic momentum that support market growth.

How Our Recession Model Works

Our model evaluates 6 economic indicators across two dimensions — crash risk and growth probability — to produce an overall recession risk assessment.

Growth Positive

Growth Probability > 50% and Crash Risk <= 50%. Monetary conditions and valuations support continued expansion.

Neutral / Mixed

Mixed signals across indicators. Both crash risk and growth probability near 50%, or conflicting readings between categories.

Crash Risky

Crash Risk > 50% and Growth Probability <= 50%. Multiple indicators signaling overvaluation or economic weakness.

Prediction Methodology

Each indicator is compared against historically significant thresholds. The combined crash risk percentage reflects how many indicators are in negative territory, while growth probability shows how many favor expansion.

  • Yield Curve (98% accuracy)

    — Inverted yield curve has preceded every recession since 1950
  • Buffett Indicator

    — Market cap to GDP above 100% signals overvaluation historically linked to corrections
  • Shiller PE Ratio

    — CAPE above 30 has preceded every major market decline in the last century
  • US Dollar Index

    — Extreme dollar strength creates global financial stress
  • M2 Money Supply

    — Contracting money supply signals deflationary pressure and tightening liquidity
  • Real Interest Rates

    — Sharply positive real rates increase borrowing costs and slow economic activity

Explore Individual Indicators

Recession probability data is provided for educational purposes only. Not investment advice. Past performance does not guarantee future results. Always consult qualified financial professionals before making investment decisions.