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.
78 Articles
78 Articles
US stocks sink on signs of a sputtering economy but then halve their drops after an inflation update
U.S. stocks are falling following a report suggesting the U.S. economy may have shrunk at the start of the year. The S&P 500 lost 1% Wednesday. The Dow Jones Industrial Average dropped 271 points, and sharp drops for some AI…

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.
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