Key control
- The US economy was reduced to 0.2% in the first quarter, less than 0.3% initially informed by the Office of Economic Analysis.
- The decrease in economic growth was mainly due to a wave of imports as people rushed to buy things abroad before the rates of President Donald Trump are activated. Imports are subtracted from the total GDP.
- Despite the best total figure of GDP, consumer expense, an important pillar of the health of the economy, was reviewed down.
The US economy was reduced a little less than what was previously thought of in the first quarter, according to reviewed data published on Thursday.
The Gross Domestic Product (GDP) was reduced to a seasonally adjusted annual rate of 0.2% in the first quarter, said the economic analysis office on Thursday, after reviewing the advance data with newer information. That was lower than the 0.3% decrease than the office initially reported in April. GDP data is scheduled to be reviewed once again before being finished.
Despite the improved GDP figures, some details of the reports showed the economy in a slightly worse condition. Consumer spending, the main driver of the economy growth, was reviewed down, but an increase in business investment more than compensated for that receipt.
Economists said that the decreasing GDP, the first negative growth since 2022, the people who rushed to buy imported products before President Donald Trump’s rates take over. The value of imports has total GDP.
