US economy shrank faster than reported in first quarter

[JimH52]

https://www.cnn.com/2025/06/26/economy/us-gdp-q1-final

WashingtonCNN —
The US economy contracted in the beginning of the year at a much faster pace than previously reported, after new data factored in much weaker consumer spending.

Gross domestic product, the broadest measure of economic output, registered an annualized rate of -0.5% from January through March, the Commerce Department said Thursday in its third and final estimate. That’s worse than the 0.2% decline reported in the second estimate. GDP is adjusted for seasonal swings and inflation.

Well, trump's economy is certainly making a strong showing...NOT. But I am sure trump's maga supporters will spin this as a good thing.

I can understand why trump failed to cook the numbers on this news. He is too busy falsifying the Iran strike data.

 

[theHawk]

https://www.cnn.com/2025/06/26/economy/us-gdp-q1-final

WashingtonCNN —
The US economy contracted in the beginning of the year at a much faster pace than previously reported, after new data factored in much weaker consumer spending.

Gross domestic product, the broadest measure of economic output, registered an annualized rate of -0.5% from January through March, the Commerce Department said Thursday in its third and final estimate. That’s worse than the 0.2% decline reported in the second estimate. GDP is adjusted for seasonal swings and inflation.

Well, trump's economy is certainly making a strong showing...NOT. But I am sure trump's maga worshippers will spin this as a good thing.

I can understand why trump failed to cook the numbers on this news. He is too busy falsifying the Iran strike data.

We fully expect illegal alien supported labor to go down as we run them out of the country.

Then Americans and legal immigrants will be hired and the numbers will go up.

 

[jbrownson0831]

https://www.cnn.com/2025/06/26/economy/us-gdp-q1-final

WashingtonCNN —
The US economy contracted in the beginning of the year at a much faster pace than previously reported, after new data factored in much weaker consumer spending.

Gross domestic product, the broadest measure of economic output, registered an annualized rate of -0.5% from January through March, the Commerce Department said Thursday in its third and final estimate. That’s worse than the 0.2% decline reported in the second estimate. GDP is adjusted for seasonal swings and inflation.

Well, trump's economy is certainly making a strong showing...NOT. But I am sure trump's maga worshippers will spin this as a good thing.

I can understand why trump failed to cook the numbers on this news. He is too busy falsifying the Iran strike data.

Have to get rid of the illegals jimboliar....you know, those people here against the law.

 

[berg80]

US first-quarter GDP contraction revised to -0.5% vs. -0.2% expected​

US first-quarter GDP contraction revised to -0.5% vs. -0.2% expected | FXStreet

The United States' Gross Domestic Product (GDP) contracted at an annual rate of 0.5% in the first quarter, the US Bureau of Economic Analysis (BEA) announced on Thursday. This reading came in worse than the previous estimate and the market expectation of -0.2%.

www.fxstreet.com

U.S. growth forecast cut sharply by OECD as Trump tariffs sour global outlook​

https://www.cnbc.com/2025/06/03/us-growth-forecast-cut-further-by-oecd-as-trump-tariffs-sour-outlook.html

You may ask why the market is up over the last few weeks given the lower growth forecast? The answer.......today's headline on the downward Q1 revision means a greater likelihood of interest rate cuts by the Fed.

 

[Meister]

If Powell would quit playing politics with his (the) federal reserve bank
and cut the interest rate by a 1/4%-1/2%, you would see the economy take off.
Trump is doing his part

 

[SassyIrishLass]

Expect a little pain. Not that I believe CNN anyway

 

[SassyIrishLass]

Dupe thread

 

[kyzr]

So what was the 2nd quarter's GDP? C'mon berg, you type it...
Hint:3.4%

GDPNow

GDPNow forecasting model provides a "nowcast" of the official estimate prior to its release by estimating GDP growth using a methodology similar to the one used by the US Bureau of Economic Analysis.

www.atlantafed.org

 

[Meister]

US first-quarter GDP contraction revised to -0.5% vs. -0.2% expected​

US first-quarter GDP contraction revised to -0.5% vs. -0.2% expected | FXStreet

The United States' Gross Domestic Product (GDP) contracted at an annual rate of 0.5% in the first quarter, the US Bureau of Economic Analysis (BEA) announced on Thursday. This reading came in worse than the previous estimate and the market expectation of -0.2%.

www.fxstreet.com

U.S. growth forecast cut sharply by OECD as Trump tariffs sour global outlook​

https://www.cnbc.com/2025/06/03/us-growth-forecast-cut-further-by-oecd-as-trump-tariffs-sour-outlook.html

You may ask why the market is up over the last few weeks given the lower growth forecast? The answer.......today's headline on the downward Q1 revision means a greater likelihood of interest rate cuts by the Fed.

The interest rate cuts should have already happened, Powell is playing politics with Trump.

 

[kyzr]

The interest rate cuts should have already happened, Powell is playing politics with Trump.

Exactly. NFW that the interest rate should be so high when inflation is nearing target.

 

[berg80]

So what was the 2nd quarter's GDP?

It hasn't even ended yet so my crystal ball is unclear. What bearing does that have on the Q1 contraction?

 

[berg80]

The interest rate cuts should have already happened, Powell is playing politics with Trump.

Why, because the King of Debt said so? There is no economic justification for cuts now, especially given that the tariffs are expected to put pressure on inflation going forward.

 

[Independent thinker]

https://www.cnn.com/2025/06/26/economy/us-gdp-q1-final

WashingtonCNN —
The US economy contracted in the beginning of the year at a much faster pace than previously reported, after new data factored in much weaker consumer spending.

Gross domestic product, the broadest measure of economic output, registered an annualized rate of -0.5% from January through March, the Commerce Department said Thursday in its third and final estimate. That’s worse than the 0.2% decline reported in the second estimate. GDP is adjusted for seasonal swings and inflation.

Well, trump's economy is certainly making a strong showing...NOT. But I am sure trump's maga supporters will spin this as a good thing.

I can understand why trump failed to cook the numbers on this news. He is too busy falsifying the Iran strike data.

The actual fact is, a runaway ecomomy raises inflation. After Biden's hyperinflation we needed a period of slower economic growth. That helps keep prices down.

 

[Meister]

Why, because the King of Debt said so? There is no economic justification for cuts now, especially given that the tariffs are expected to put pressure on inflation going forward.

The tariffs aren't doing what you and your ilk want them to.
Just keep waiting....but it's not Trump, it's Powell.
Remember what Powell did with interest rates right before
the election last year? He's playing politics, and you were lapping
it up at that time.

 

[citygator]

Not really any good data in the report other than it says the economy has not crashed - yet. Most of the data shows a weakening economy. Unemployed are having a harder time finding jobs. Consumer spending which is 80% of the economy was tepid turning in the worst performance in 4 years (pandemic). Q1 GDP was worse than reported. (I remember when right wingers freaked the hell out about revisions - must not be an issue now, I wonder why?).

 

[kyzr]

It hasn't even ended yet so my crystal ball is unclear. What bearing does that have on the Q1 contraction?

One quarter means nothing, it takes two consecutive contractions to be a "recession".

You don't need a crystal ball I gave you a link to the St Louis Fed.

The 1st qtr contraction could have been a reaction to what was perceived as a coming trade war, which looks to be receding.

Trump's economy is looking FANTASTIC. Just imagine what it will do when the Fed starts cutting rates.

Enjoy the next 45 months!

 

[JimH52]

Not really any good data in the report other than it says the economy has not crashed - yet. Most of the data shows a weakening economy. Unemployed are having a harder time finding jobs. Consumer spending which is 80% of the economy was tepid turning in the worst performance in 4 years (pandemic). Q1 GDP was worse than reported. (I remember when right wingers freaked the hell out about revisions - must not be an issue now, I wonder why?).

And the tariff fiasco has not hit yet. Repubs don't care. Like lemmings, they will follow their Dear Leader over a cliff.

 

[Meathead]

https://www.cnn.com/2025/06/26/economy/us-gdp-q1-final

WashingtonCNN —
The US economy contracted in the beginning of the year at a much faster pace than previously reported, after new data factored in much weaker consumer spending.

Gross domestic product, the broadest measure of economic output, registered an annualized rate of -0.5% from January through March, the Commerce Department said Thursday in its third and final estimate. That’s worse than the 0.2% decline reported in the second estimate. GDP is adjusted for seasonal swings and inflation.

Well, trump's economy is certainly making a strong showing...NOT. But I am sure trump's maga supporters will spin this as a good thing.

I can understand why trump failed to cook the numbers on this news. He is too busy falsifying the Iran strike data.

The Commerce Department separately reported on Thursday that new orders for US durable goods surged 16.4% last month, as business demand for transportation equipment ramped up sharply. The overall boost in orders last month came as China lowered tariffs on American exports from 125% to 10%, while the US lowered tariffs on Chinese exports from 145% to 30%.

New orders for non-defense capital goods excluding aircraft — a closely watched proxy for business investment — grew at a rate of 1.7% in May from the prior month, rebounding sharply from a 1.4% decline in April. That bodes well for economic growth in the second quarter, which will be reported next month.

 

[jbrownson0831]

And the tariff fiasco has not hit yet. Repubs don't care. Like lemmings, they will follow their Dear Leader over a cliff.

No, that was Pied Piper Poopeypants and you and your ilk jimboliar.
Tariff fiasco....of course you are against anything that benefits the US.

 

[Marener]

If Powell would quit playing politics with his (the) federal reserve bank
and cut the interest rate by a 1/4%-1/2%, you would see the economy take off.
Trump is doing his part

The idea that we are 0.25% interest rates away from a booming economy is absurd.

Trump is chaos and wants Powell to bail him out. Powell isn't playing politics, he's a realist.