Economy grew by just 0.7% in Fourth quarter
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GDP grew at a sluggish 0.7% pace in the final months of 2025 as the government shutdown hurt economic activity.
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US economic growth worse than expected as 43-day shutdown weighs on Donald Trump's aims
The American economy expanded at an annualised rate of just 0.7 per cent during the final three months of 2025, according to revised figures released by the US Commerce Department. The updated data represents a sharp downgrade from the Government’s earlier estimate of 1.
Real GDP rose at just a 0.7% annual rate, falling well short of the 1.4% forecast and marking a steep drop-off from the 4.4% final estimate seen in Q3.
GDP grew at an annualized rate of 1.4% in the fourth quarter, down from 4.4% in the third quarter. The report was originally scheduled for Jan. 29, but was released at 8:30 a.m. ET Friday because of government shutdown-related delays.
President Donald Trump claims his tariffs have revived the U.S. economy, calling it an “American economic miracle.”