After falling in the morning, American actions pushed in the green to close the next day after the release of a economic report of the Commerce Department, which revealed that the American economy contracted in the first quarter.
The S&P 500 and Dow marked a seven -day victories sequenceTheir best rally continues this year. However, the indices closed April in the red while the stock market tried to recover from a stiff slump caused by President Donald Trump’s prices.
The gross domestic product (GDP) registered at an annualized rate of -0.3%, the ministry reported. This marks a net slowdown compared to the growth rate of 2.4% in the fourth quarter and is much lower than economists’ expectations of an increase of 0.8%.
In response, Trump defended the economic file of its administrationblame former president Joe Biden for current challenges. “I do not take credit or discreditation for the stock market, I simply say that we have inherited a mess,” he said.
If you join us, here is a summary of today’s key economic news:
Republicans and Democrats react: Republican senators expressed During the latest economic data, but said they will hope that Trump’s vast legislative program – including tax reductions – will spend this summer, which can lead the economy on the right track. The Republicans echoed Trump’s comments and blamed Biden for the current state of the economy. In the meantime, Democratic senator Peter Welch said, “The President of the United States carries the burden of what the economy does, or the benefit of what he does.”
Trump advisor is running: Peter Navarro, special advisor to the president, tried To run the GDP report As “very positive news” for Americans, praising how prices lead a “enormous quantity” of domestic investment. “It was the best negative print, as they say in the trade, for the GDP that I have never seen in my life. It should really be a very positive news for America,” said Navarro.
Related inflation: In other economic news, inflation has slowed heavily in March, approaching the target of 2% in the federal reserve, while consumption spending continued to fuel the economy. Learn more.
Too early to call the recession: While the last GDP report indicates a significant slowdown, it does not necessarily point out that the United States is in recession – at least not yet. Matt Egan of CNN explain why This contraction does not automatically equivalent to a recession.
Maureen Chowdhury of CNN, Donald Judd, Morgan Rimmer, Alison Main, Manu Raju, Casey Riddle, Kit Maher, Alicia Wallace, Bryan Mena and Matt Eagan contributed to this report.
This message has been updated with details on American stock market performance for today and April.