Warning signs may point to a looming recession as shutdown continues

(NewsNation) — The United States could be headed for a recession, as economists point to key unofficial indicators amid the government shutdown.

In early October, Moody’s Analytics chief economist told Fortune magazine that the economies of 22 states are contracting and that many lower- and middle-income households are “hanging on by their fingertips.”

One of the clearest indicators of an economic slowdown has been an increase in overdue car payments. Nearly 6.5% of subprime borrowers — those with credit scores below 670 — are at least 60 days late on their car loans, Fitch Ratings reports, nearly double the rate seen in 2021. Cars are being repossessed at the highest rate since the Great Recession of 2008 and 2009, according to CNN.

At the same time, pawn shop operators are reporting a