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Silicon Valley Bank was shut down by regulators on Friday.

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  • Goldman Sachs raised its recession odds from 25% to 35% on Thursday. 
  • The Wall Street firm's new outlook stems from "increased near-term uncertainty," the strategists said. 
  • The bank turmoil with Silicon Valley Bank, Credit Suisse, and others has fueled unrest in the global economy. 

Goldman Sachs just raised its odds for a recession as turmoil in the banking system continues to unfold. 

Strategists led by Goldman's chief economist, Jan Hatzius, said there's now a 35% chance of a US recession, up from the bank's previous forecast of 25%. They cited "increased near-term uncertainty" surrounding the effects of small bank stress. 

Thursday's research note follows a separate forecast from Goldman that slashed 2023 GDP outlook by 0.3% to 1.2%.

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Markets, MI Exclusive, SVB, Goldman Sachs, Silicon Valley Bank, bank failure, Credit Suisse, Recession, economic outlook, Wall Street, Jan Hatzius, chief economist
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The bank crisis has raised the odds of a recession in the next year to 35%, acc…