US economy shrank 0.5% between January and March, worse than earlier estimates showed | Crypto Craft

  • US economy shrank 0.5% between January and March, worse than earlier estimates showed

    From abcnews.go.com

    The U.S. economy shrank at a 0.5% annual pace from January through March as President Donald Trump’s trade wars disrupted business, the Commerce Department reported Thursday in a downgrade from its previous estimate. First-quarter growth sank under a surge of imports as companies in the United States rushed to bring in foreign goods before Trump could impose tariffs on them. The Commerce Department previously estimated that the economy fell 0.2% in the first quarter. The January-March drop in gross domestic product — the nation’s output of goods and services — reversed a 2.4% increase in the last three months ... (full story)

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Eurorally
Jun 26, 2025 9:21am — Edited
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From this article,

'Neuf said: The first-quarter import influx likely won’t be repeated in the April-June quarter and therefore shouldn’t weigh on GDP. In fact, economists expect second-quarter growth to bounce back to 3% in the second quarter, according to a survey of forecasters by the data firm FactSet.

Also, from the same article: And federal government spending fell at a 4.6% annual pace, the biggest drop since 2022.
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noza
Jun 26, 2025 1:08pm
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That's why Trump declare a ceasefire right after he strike Iran nuke facility. US tax payer money will be used to repair Tel Aviv and also finance their armaments. A continued war will cause the US to suffer huge economic losses. Furthermore, this is not their war.
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mcsilver
Jun 26, 2025 4:44pm
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Read all the way through the article and what it says about how the GDP has been measured and lastly where it says, "This story has been corrected to show that the drop in federal spending was the biggest since 2022, not 1986." They cannot help themselves from creating doom and gloom headlines and first paragraphs.
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Trader#15C7
Jun 26, 2025 8:12pm
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Wonder how many of these trade deals are going to be worse or the same as the ones they had before. I'm going to guess most will be in that category.
Putting fear into people so they don't spend, don't borrow, don't take any risk at all slows the economy.
All because orange man wants to talk the spotlight and be an emperor
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Trader#15C7
Jun 26, 2025 8:18pm
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So is the economy fundamentally weakened or spooked? If it's spooked, inflation will be roaring if the orange can keep his mouth closed for an entire 2 weeks.
If purchasing power continues to decrease because the president and his advisors are out of touch, they could be in a self engineered recession.
It's not 4d chess because all the midterms will go to the Democrats and that's the end of anything outside of an executive order.
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Trader#5DDF
Jun 26, 2025 9:21am
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And yet everything just keeps going up who is bullshitting who?
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