U.S. Economy Stalled Last Month
- The U.S. Economy showed weak growth in May 2025, adding only 37,000 private sector jobs, significantly below expectations.
- This weak job growth followed a contraction in the May ISM Services Index to 49.9, signaling a potential recession in services.
- Inflation pressures intensified as the Prices Paid Index rose to 68.7, marking a 3.6-point increase from April’s 65.1 amidst fiscal debates.
- Elon Musk warned that debt interest payments now consume 25% of government revenue and could threaten social programs if deficits continue.
- These indicators suggest heightened economic uncertainty and potential challenges ahead, with investors and policymakers preparing for volatility and possible rate cuts.
4 Articles
4 Articles
U.S. Economy Stalled Last Month
“The U.S. economy slowed to a crawl in May, with consumers pulling back on spending and businesses delaying hiring, according to the Federal Reserve‘s Beige Book survey released Wednesday,” MarketWatch reports. “According to the report, nine of the 12 Fed districts reported contraction in economic activity or no change in growth. The remaining districts saw slight growth.”
Keep an eye on developments in the U.S. economy
Most of the time, you can ignore monthly economic data – it rarely, if ever, changes trends in markets. But with Trump fiscal profligate ways, a huge global debt refinancing event coming in 2026/27 and threats to democracy itself, it probably now pays to keep a closer eye on how the U.S. economy is faring. Could it be that the U.S. economy is slowing, even while inflation remains? It’s only one data point but the U.S. economy experienced a jolt …
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