U.S. economic growth turned negative in the first quarter of 2025, with GDP contracting at an annual rate of 0.3%, according to Barron's. The downturn follows 2.4% growth in the prior quarter and reflects a sharp reversal from 2024’s 2.8% expansion. The contraction came in below consensus expectations and was primarily attributed to a surge in imports and a decline in government spending. Business and consumer activity slowed amid policy uncertainty, marking a stark shift from the previous year’s momentum.
