In the United States, the fall in GDP in the first quarter is more severe than expected with a decrease in 0.5% activity in the annualized rhythm against a first estimate of -0.2%, according to figures from the Department of Commerce.
In the quarter, household consumption expenses decreased to +0.5% against 1.2% expected in a previous estimate, while PCE inflation accelerated to +3.7%.
This represents a 0.1% decrease compared to the previous quarter.
Analysts expected these data not to review, according to the consensus published by Breefing.com.
“The fall in GDP in the first quarter mainly reflects an increase in imports, which constitute a subtraction in the calculation of GDP, and a decrease in public spending,” it is underlined in the Ministry’s report.
This import increase shows that companies have constituted actions before the entry into force of the important customs tariffs imposed by Donald Trump in most of the United States commercial partners, in particular products manufactured in China.
A warning blow in April
The first estimate of GDP, published at the end of April, had the effect of a cerebral warning spill. It was the first negative evolution for the first world economy since 2022, which was still flourishing at the end of 2024.
Thursday’s review mainly reflects “consumer spending and exports declines,” said the United States Ministry of Commerce.
These reviews were “partially compensated” by an adjustment to the decline in the import level, added the ministry.
While Donald Trump has revealed or postponed some of his most punitive commercial savings in the context of current commercial negotiations, the July deadline approach for the entry into force of greater customs rights for dozens of commercial partners, which adds to economic uncertainty.
Source: BFM TV
