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Decline surprise in American GDP at the beginning of Donald Trump’s mandate, a rare event in the United States

The United States is under an unexpected decrease in gross domestic product (GDP) in the first quarter, a result is significantly lower than expectations.

The American economy takes a step back. Economic activity in the United States fell in the first three months of the year, covering the beginning of Donald Trump’s second term, whose customs policy has aroused a shock wave in the world and within his country.

In the annualized rhythm, a measure favored by the United States, the Gross Domestic Product (GDP) is reduced to 0.3% in the first quarter due to an import jumper, according to the data published on Wednesday by the Ministry of Commerce. This represents a 0.1% decrease compared to the previous quarter.

This result is significantly lower than the expectations of most analysts who, however, anticipated a serious brake (+0.4%) for the first world economy.

The negative growth of GDP is very rare in the United States. It only happened three times in the last decade: twice in 2020 during the Cavid pandemic and in the first quarter of 2022, when the Fed decreed its first increase in interest rates to Stem inflation.

>> More information to come to BFM Business in a few moments. Also find the live BFM business on video and follow us in x.

Author: MC with AFP
Source: BFM TV

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