Q1 GDP Second Estimate: Real GDP At -0.2%, Higher Than Expected

2025-05-30 01:35:00 ET

Summary

• The BEA's second estimate of real gross domestic product showed economic growth decreased at an annual rate of 0.2% in Q1 2025.
• We are currently at a level below both the 10-year moving average and the series average, indicating the current economic growth is on the historically slower end.
• The current year-over-year rate for real GDP is at 2.06%, a level at or below 9 of the 12 recession starts during this time frame.

By Jennifer Nash

The U.S. economy contracted for the first time in three years to start off 2025. The BEA's second estimate of real gross domestic product showed economic growth decreased at an annual rate of 0.2% in Q1 2025. The latest estimate was higher than the -0.3% forecast and lower than the Q4 final estimate of 2.5%....

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