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Wall Street Tumbles on Signs US Economy Is Sputtering

  • On Wednesday, U.S. Stocks tumbled sharply as a weaker-than-expected economic report suggested possible recession risks in the U.S. economy.
  • The drop followed disappointing GDP growth data that indicated the economy may have shrunk early this year, occurring before most tariffs announced by President Trump took effect.
  • The report showed importers rushed to bring in products ahead of tariffs, which dragged overall GDP lower, while ADP data indicated much weaker job hiring in April than economists anticipated.
  • Ellen Zentner, chief economic strategist, described the weak GDP as “a stagflation warning shot over the bow of the economy,” with inflation decelerating to 2.3% in March while economic growth stagnates.
  • The ongoing uncertainty from the on-again-off-again tariff rollout caused historic financial market swings, battering investors and raising concerns that trade tensions might push the economy into recession.
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Stocks retreat as US GDP slumps rattles confidence

Stocks slid on Wall Street on Wednesday, pulling European indexes off earlier highs after the US economy contracted in the first quarter, heightening fears about the fallout of President Donald Trump's tariffs blitz on the world's largest economy.

·Cherokee County, United States
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Bloomberg broke the news in United States on Tuesday, April 29, 2025.
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