Physical Address
304 North Cardinal St.
Dorchester Center, MA 02124
https://www.profitableratecpm.com/h3thxini?key=b300c954a3ef8178481db9f902561915
By Lewis Krauskopf and Saqib Iqbal Ahmed
New York Investors (Reuters) were left unclear on Wednesday on the health of the United States Economy despite a new report on gross domestic product, with the bankruptcy of President Donald Trump’s growth signals.
On their face, the first quarter data showing the first economic contraction in the United States since 2022 were alarming and immediately pressure on US stocks.
But some economists had achieved even deeper contraction and were encouraged by data. The weakness resulted from an increase in imports, as companies sought to avoid higher costs of new rates, a phenomenon that many analysts said was ready to reverse in the coming months.
The investors faced a position similar to the one they had before the long -awaited report, vulnerable to the vaults and becomes the very unresolved trade war of Trump that remains to keep the markets on the edge and the potential of recession still on the table.
“Right now there is a mass distortion and volatility in economic data due to the attractiveness of the rates,” said Matthew Miskin, co-head of investment strategist at John Hancock Investment Management. The GDP report “does not help shake this economic contraction, the fear that has been taking markets”.
U.S. gross domestic product fell at an annual rate of 0.3% last quarter. Imports jumped to a rate of 41.3%, leading to a large commercial lag that cut a record of 4.83 percentage points of GDP.
“It is more frustration for the long -term investor because you do not get a good read on what the real economy does,” said Mark Hackett, a market strategist throughout the country. “We need to know what’s going on in the economy … and reports like this do not give us a lot of useful data on this.”
Larry Werther, an American economist in Daiwa Capital Markets America, said that it was encouraged to spend more than two thirds of the economy, growing at a rate of 1.8%, which indicates that “the domestic economy was still underway” in the first quarter.
The recession was not the assumption of Werther’s base, “but the odds in the next 12 months have increased substantially” since the beginning of the year, he said.
Persistent uncertainty is a risk to the markets and expectations of collection in inflation caused by the rates complicate the situation of the Federal Reserve, which may not be able to relieve monetary policy to support the economy if the price pressures are high.
