The US economy contracted by 0.5% annually in the first quarter of 2025, a sharper drop than previously estimated, as President Donald Trump's trade wars disrupted business. The Commerce Department reported the updated 0.5% decline on June 26, revising its initial estimate of a 0.2% contraction.
The US economy faces growing uncertainty as fears of a "Trumpcession”—a recession driven by Trump’s unpredictable policies—intensify. Market volatility, weakening consumer confidence, and business disruptions from tariffs and immigration policies are fueling concerns. Indeed, the risk of an economic downturn is becoming harder to ignore.
To learn more about the possible impacts of a Trumpcession, click through now.