Torsten Sløk, Apollo Management’s chief economist, is now stating that a soft landing for the US economy is unlikely due to the delicate balance between easing financial conditions and the lingering effects of the Fed’s interest rate hikes. While previously a proponent of a soft landing, Sløk’s opinion has shifted with new economic data emerging. Companies are now issuing more high-yield and investment-grade bonds, with the IPO market reviving and mergers and acquisitions increasing. These improvements have contributed to a stronger job market, with January’s jobs report adding 353,000 jobs to the economy. However, the lagged effects of the Fed’s rate hikes are still slowing down consumers, firms, and bank lending. This leaves the economy in a precarious equilibrium between these opposing forces, making it difficult for a soft landing to occur as predicted by Sløk.