Trump tariff shock: Fitch warns US economy is slowing down; says evidence visible in ‘hard’ economic data

Fitch Ratings reports a US economic slowdown, projecting a deceleration from 2.8% in 2024 to 1.6% in 2025 and 2026. Consumer spending and government expenditure are weakening, while the labor market shows signs of softening with reduced job creation. Despite tariff impacts on inflation, the Fed is expected to ease policy with rate cuts.