Larry Kudlo: The “GDP Falling” panic is more fake news

The liberal media and their colleagues in Wall Street talk about the recession, because the gross domestic product in the first quarter of 2025 was registered with a slight decrease of three tenths one percent.

Those who suffer from “Trump Discism syndrome” are now predicting an irreversible way in the second quarter.

However, if you look under the hood of GDP and carefully analyzing numbers, what you have already reached is a somewhat strong economy that grows by 3 %.

This is correct.

President Donald Trump It barely started his second term, but he already took a look at the primary GDP – which comes out of the TREDE FLUKY import numbers from running in the introductory introduction and looks at the heart of the gross domestic product, which is the consumption of private sector in addition to investing the business of the private sector.

Well, given the basic gross domestic product, you see an actual increase in the economy in the first quarter-by 3 %, no less.

Then, if you look at the numbers deeper, you will find better news.

The investment of private business has increased, while government spending has decreased.

This is correct. The firm investment of business increased by 10 % by an annual rate in the first quarter.

Even better, the equipment and commercial machines – an incredibly important vapor of productivity, increased jobs, and raising real wages – increased by 22.5 %.

There is no stagnation there.

From the entire GDP report, 22.5 % is the most important figure.

What happens here? Why is Resnetsas very wrong? What they missed?

Good… President Trump’s bill, large and beautiful Both congressional will be passed, perhaps on the fourth July holiday, just a few months away.

Mr. Trump has repeatedly said that he would give a 100 % commercial investment.

In addition, the factory investment and building the same immediate consumption will provide 100 %.

Decisively, he said that all of this would be retroactively – until January 20, 2025.

Moreover, let’s not forget that the company’s commodity tax rate in America will decrease from 21 to 15 %.

So, what really happens is that companies manage the beautiful taxes that will come on their way.

It is an enormous story.

It is the story of reformulation.

It is a story on how business tax discounts – along with the new personal tax cuts of service workers, additional work, and social security benefits for the elderly – to the superiority of any traction from customs tariffs.

Below is another point: In March, the Personal Consumption Devils came by 0.0 %.

The basic separate laboratory also came at 0.0 %.

And do not forget the consumer price index in March has already decreased ten percent.

All this progress in inflation puts a reduction in the Federal Reserve.

This is true, the price reduction should be coming.

Finally, with a focus on GDP numbers again, there is a math problem at work.

Yes, imports jumped 333 billion dollars in the first quarter, but the stocks increased only 140 billion dollars.

To leave 193 billion dollars unaccounted. There is a gap. Where did all these commercial imports go?

Was the gap at approximately $ 200 billion between imports and stocks only … evaporating?

It is clear that pencil motives in the Trade Department cannot rely on.

Therefore, it will take this 200 billion dollars and add it to the gross domestic product.

If they put it, I will simply choose to add it again.

When I do so, the real GDP growth in the first quarter of 2025 comes by 3.2 %. Even better than private local sales.

This puts The economy is supported by tax discounts and the abolition of organizational restrictions It can be wasted – perhaps in the second quarter, but certainly by the second half of the year until 2026.