Q1 GDP Third Estimate: Real GDP at -0.5%, Lower Than Expected

Published on June 26, 2025

The U.S. economy contracted for the first time in three years to start off 2025. The BEA's third estimate of real gross domestic product showed economic growth decreased at an annual rate of 0.5% in Q1 2025. The latest estimate was lower than the -0.2% forecast and marked a significant slowdown from the Q4 final estimate of 2.5%.