Goldman Sachs Lowers U.S. Economic Growth Forecast Amid Trade War Concerns

According to Odaily, concerns over U.S. President Donald Trump's trade policies have led to a significant reduction in the U.S. economic growth forecast. Goldman Sachs has revised its growth prediction for the U.S. economy this year to 1.7%, down from the previous estimate of 2.4%. This adjustment reflects growing apprehension on Wall Street regarding the Trump administration's approach, especially after Trump did not rule out the possibility of a U.S. economic recession. On Monday, U.S. stock markets experienced a sharp decline, with the tech-heavy Nasdaq index dropping by 3.9% and the S&P 500 index falling by 1.5%. Goldman Sachs also indicated that the U.S. currently faces a 20% risk of recession. Economists suggest that if the threat to the economy becomes more apparent, Trump may downplay the tariffs.