Early 2025 economic data signals negative growth, with the Atlanta Fed’s GDPNow tracker predicting a 1.5% contraction for Q1, down from a previous 2.3% growth estimate.

Lower consumer spending, weak exports, and declining consumer confidence contributed to the downgrade.

Inflation cooled slightly, but jobless claims rose, and bond market signals hint at a possible recession, CNBC has reported.

Stock markets remain volatile, and traders now expect multiple Fed rate cuts, with an 80% chance of a June reduction.

Written by B.C. Begley