Angelo Mozilo, chief executive of Countrywide Financial Corp., said Thursday that the housing market is showing no signs of improving and that could lead to a recession.

When asked directly if the current situation could lead to a long-term economic slowdown, Mozilo in an interview on CNBC responded: “I think so … I can’t believe … this doesn’t have a material effect … on the psyches of the American people and on their wallet.”

Meanwhile, Countrywide’s stock was buoyed by a $2 billion investment by Bank of America. When the deal was announced late Wednesday, shares in Countrywide shot up nearly 20 percent in after-hours trading and remained up 4.4 percent Thursday. Shares gained 99 cents to $22.81 in afternoon trading Thursday on the New York Stock Exchange.

Countrywide’s volatile stock has traded between $23.90 and $19.25 just this week.

Bank of America’s investment came a week after the Calabasas-based lender tapped an $11 billion line of credit in an effort to reassure investors and to continue funding its operations.

Countrywide said that the Charlotte-based bank will get convertible preferred stock that returns 7.25 percent annually, which can be converted into common stock at $18 per share with certain time constraints.