Summary

The Atlanta Fed’s GDPNow tracker indicates U.S. GDP may shrink by 1.5% in Q1 2025, reversing from an earlier 2.3% growth estimate.

Weak consumer spending and exports contributed to the downgrade, reflecting broader economic concerns. Inflation-adjusted spending dropped 0.5% in January, and net exports’ contribution fell sharply.

Declining consumer confidence, rising jobless claims, and an inverted yield curve signal potential recession risks.

Markets now expect multiple Fed rate cuts in 2025, with an 80% chance of a June reduction, as economic uncertainty weighs on stocks and bonds.

  • @Bonesince1997
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    3813 hours ago

    Next they’ll be suggesting we stop measuring these things.

    • @Hobbes_Dent
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      1613 hours ago

      The WaPo will tell them how things are (not). For those not hearing it on X or Truth or Meta.

    • @j4k3
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      English
      1013 hours ago

      dogé style

  • @mystik
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    1813 hours ago

    broader economic concerns

    Quite the understatement.