More than expected the economy of the USA During the first quarter of this year (January – March 2025, ie before the duties are imposed Trump) According to official data released today, with consumer expenditure and exports proved to be lower than expected.
At an annual rate, US GDP shrunk by 0.5% in the first quarter of 2025 (which coincides with the first months of Trump’s governance), compared to a previous estimate of 0.2%, the US Department of Commerce said. In the last quarter of 2024, economic production had increased by 2.4%. GDP reduction in the first quarter was mainly due to higher imports and lower government spending. Many importers had exploited the time before the US President Donald Trump’s duties trigger in April to import goods in the United States.
US Federal Bank President Jerome Powell has recently pointed out data during Congress listening this week, which shows that the economy remains stable. However, the central bank is worried about consumer confidence research. These have been deteriorating climate in recent months and increased uncertainty about economic perspectives. This is largely due to concerns about commercial policy. It remains to be seen how these developments will affect future spending and investment, Powell recently told Congress.
The Fed recently maintained its main interest rate in the range of 4.25 to 4.50%. The Central Bank wants to gain more clarity on how the change of policy under Trump will affect inflation and the labor market. The next interest rates decision is scheduled for July 30.