US GDP grows just 1.4% vs 2.9% expected: what it means for your money
The US economy grew just 1.4% in Q4 2025, well below the 2.9% expected. Combined with 2.9% inflation, the stagflation specter looms large.
Popular
The US economy grew just 1.4% in Q4 2025, well below the 2.9% expected. Combined with 2.9% inflation, the stagflation specter looms large.
Trump's 15% global tariffs took effect February 24, impacting $1.2 trillion in imports and costing an estimated $1,500 extra per household in 2026.
The 30-year fixed mortgage rate in the US dropped to 5.76%, the lowest point of 2026. CDs offer up to 4% APY and high-yield savings up to 4% APY.
Wall Street stages a strong rebound: S&P 500 +0.68%, Dow +410 points, Nasdaq +1.1%. AMD surges 9% on Meta deal. Nvidia earnings report due Wednesday.
Federal Reserve Governor Lisa Cook warned that artificial intelligence could cause unemployment that even lowering interest rates cannot resolve.
Nvidia reports its Q4 FY2026 earnings today after market close. Analysts expect $65.7B in revenue. Options traders price a 6% move. The entire market is watching.
Consumer confidence rose to 91.2 in February, helped by a slightly better labor market outlook. But staying below 100 keeps recession warning flags flying.
Jack Dorsey cut 4,000 jobs at Block, nearly half the company. He says AI made it inevitable and predicts most companies will make the same decision within a year.
The Nasdaq dropped over 3.3% in February and the S&P 500 lost nearly 1%. It is the worst month for both indices since March 2025. AI doubts, inflation, and hot PPI data drove selling pressure.
The producer price index (PPI) came in hotter than expected, complicating the Fed rate cut timeline. With rates at 3.50-3.75%, mortgages, credit cards, and loans remain expensive.
Brent crude surged 9% to $78.70/barrel after US-Israel strikes on Iran. The Strait of Hormuz is effectively closed. US gas prices expected to rise 10-30 cents within days.
Gold surged 2.5% to $5,377/oz, approaching its all-time high of $5,589. Investors flee to safe havens amid the Iran-US conflict. Experts predict $5,500+ in weeks.