{"id":2571844,"date":"2026-02-20T09:34:01","date_gmt":"2026-02-20T14:34:01","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/gdp-grew-at-1-4-rate-in-final-quarter-of-2025-well-below-expectations\/"},"modified":"2026-02-20T09:35:43","modified_gmt":"2026-02-20T14:35:43","slug":"gdp-grew-at-1-4-rate-in-final-quarter-of-2025-well-below-expectations","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/gdp-grew-at-1-4-rate-in-final-quarter-of-2025-well-below-expectations\/","title":{"rendered":"GDP grew at 1.4% rate in final quarter of 2025, well below expectations"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">26<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fgdp-grew-at-1-4-rate-in-final-quarter-of-2025-well-below-expectations%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2571844&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>U.S. GDP grew at a 1.4% annual rate in the fourth quarter of 2025, far below economists\u2019 expectations of about 3% after a 4.4% pace in Q3.<\/p>\n<p>&#8211; The miss was partly linked to a government shutdown that reduced spending and a downward adjustment to some exports tied to investment purchases of silver bars.  <\/p>\n<p>&#8211; A slowing in consumer spending and weakness in homebuilding also helped drag down the headline figure. Despite Q4 softness, 2025&#8217;s overall GDP rose 2.2%, beating some predictions but disappointing relative to optimism tied to tariff and policy expectations.  <\/p>\n<p>&#8211; The <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/job-growth-cools-in-december\/\" title=\"Job ... Cools in December\">labor market remained resilient<\/a>, with January payrolls up around 130,000 and the unemployment rate at 4.3%. However, payroll data for 2025 was revised lower, showing about 1 million fewer jobs than previously estimated and an <a href=\"https:\/\/amzn.to\/3YuVZYV\" >average monthly payroll growth<\/a> of roughly 15,000 for the year (down from about 50,000).  <\/p>\n<p>&#8211; Politically, the management highlighted the year&#8217;s growth while pursuing tax cuts and deregulation; tariff policies remained contentious, with officials signaling possible easing of steel and aluminum tariffs.  <\/p>\n<p>&#8211; Looking ahead to 2026, economists will closely watch GDP momentum as midterm elections approach, since the modest Q4 performance complicates arguments about sustained strong growth.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<p><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><\/p>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-header-search-button-mob dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-mobile-search-icon td-icon-search\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div class=\"tdb-drop-down-search\" aria-labelledby=\"td-header-search-button\">\n<div class=\"tdb-drop-down-search-inner\">\n<form method=\"get\" class=\"tdb-search-form\" action=\"https:\/\/www.washingtonexaminer.com\/\"><\/form>\n<div class=\"tdb-aj-search\"><\/div>\n<\/div>\n<\/div>\n<p><a href=\"http:\/\/www.washingtonexaminer.com\/#\" role=\"button\" aria-label=\"Search\" class=\"tdb-head-search-btn dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-search-icon td-icon-search\"><\/i><\/a><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<h1 class=\"tdb-title-text\">GDP grew at 1.4% rate in final quarter of 2025, well below expectations<\/h1>\n<div><\/div>\n<div class=\"tdb-title-line\"><\/div>\n<\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div id=\"Brid_2497463\" class=\"tpd-featured-video bridtv\"><\/div>\n<p>The <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/economy\">economy<\/a> grew at a 1.<a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/economy-grew-3-4-in-fourth-quarter-remaining-strong-despite-higher-interest-rates\/\" title=\"The economy expanded by 3.4% in the ..., maintaining its strength despite increased interest rates\">4% seasonally adjusted annual rate<\/a> in the fourth quarter of 2025, the Bureau of Economic Analysis reported in an estimate of <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/gdp\/\">gross domestic product<\/a>, far below the forecast growth that President Donald Trump and Republicans were hoping would boost their political prospects as they prepare for the midterm elections.<\/p>\n<p>The consensus among economists was that&nbsp;<a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/tag\/gdp\/\">GDP<\/a> would increase at a 3% rate in the fourth quarter after growing at a strong 4.4% pace in the third quarter.<\/p>\n<div class=\"recommended-stories\">\n<h2>Recommended Stories<\/h2>\n<ul>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/news\/campaigns\/congressional\/4464808\/koch-backed-latino-group-announces-first-2026-endorsements\/\">Koch-backed Latino group announces first 2026 endorsements<\/a><\/li>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/news\/4464130\/economy-grew-2025-beating-predictions\/\">Economy grew 2.2% in 2025, beating predictions<\/a><\/li>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/news\/white-house\/4464873\/vietnam-veterans-sue-stop-construction-trump-independence-arch\/\">Vietnam veterans sue to stop construction of Trump&#8217;s &#8216;Independence Arch&#8217;<\/a><\/li>\n<\/ul>\n<\/div>\n<div class=\"article-paywall\">\n<p><strong><a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/news\/senate\/4457833\/mike-rogers-win-young-michigan-voters-housing-plan\/\">MIKE ROGERS TRIES TO WIN OVER YOUNG MICHIGAN VOTERS WITH HOUSING AFFORDABILITY PLAN<\/a><\/strong><\/p>\n<p>Those expectations were dashed, though, in part because of a decreased in government spending attributable to last year&rsquo;s government shutdown, the longest in history.<\/p>\n<p>&ldquo;At first glance, the first reading of Q4 GDP was very disappointing &hellip; however, the government was shut down for almost half the quarter,&rdquo; said Chris Zaccarelli, chief investment officer for Northlight Asset Management. &ldquo;Some estimates have put the number closer to 2.4% if the government hadn&rsquo;t been shut down, but it&rsquo;s always hard to know how accurate those adjustments are.&rdquo;<\/p>\n<p>Another factor that dragged down the headline number was that the BEA subtracted some exports because they represented silver bars being purchased for investment purposes.<\/p>\n<p>Still, the slowdown also reflected a deceleration in consumer spending and an ongoing retraction on homebuilding that are cause for concern. <\/p>\n<div style=\"position: relative; width: 100%; height: 0px; padding: 56.18% 0px 0px; overflow: hidden; will-change: transform;\"><iframe loading=\"lazy\" src=\"https:\/\/e.infogram.com\/ec3d829d-b992-4c63-a11b-420bdd1c8056?src=embed&amp;embed_type=responsive_iframe\" title=\"fourth quarter gdp\" allowfullscreen allow=\"fullscreen\" style=\"position: absolute; width: 100%; height: 100%; top: 0px; left: 0px; border: none; padding: 0px; margin: 0px;\"><\/iframe><\/div>\n<p>Overall, the report is not encouraging for Trump, who has struggled with <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/economic-conditions-looking-a-bit-more-favorable-for-harris-washington-examiner\/\" title=\"Economic conditions looking a bit more favorable for Harris - Washington Examiner\">poor economic approval ratings<\/a>. He entered office promising to lower prices after years of too-high inflation under former President Joe Biden, but price growth of many goods and services has remained stubbornly high.<\/p>\n<p>Despite the anemic fourth quarter numbers, overall GDP growth for 2025 <a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/news\/4464130\/economy-grew-2025-beating-predictions\/\">came out to be 2.2%<\/a>,&nbsp;according to the preliminary estimate.<\/p>\n<p>The Trump administration is looking to tout any positive economic news that it can get, and GDP growth for the past two quarters had been a bright spot for the administration.<\/p>\n<p>Still, the positive economic growth this year cuts against the predictions of many economists that the president&rsquo;s aggressive tariff agenda would curb growth. Trump&rsquo;s tariffs have drawn a torrent of criticism from Democrats and some Republicans.<\/p>\n<p>Republicans have been united, though, behind the tax cuts included in the One Big Beautiful Bill Act. The White House has maintained that the provisions in the bill that allow businesses to quickly write off investments will lead to a boom in capital expenditures and thus economic growth. <\/p>\n<p>The GOP is also squarely behind the Trump administration&rsquo;s efforts to roll back regulations that conservatives blame for hamstringing the private sector, especially environmental rules. <\/p>\n<p>GDP growth will be closely watched in 2026 as the midterm elections approach. Strong GDP growth is starkly at odds with the idea that the economy is in or nearing a recession. <\/p>\n<p>Another positive economic development for the White House has been the resilience of the labor market. While it has slowed over the past year, job growth has still remained positive, and claims for unemployment insurance benefits have remained low.<\/p>\n<p><strong><a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/policy\/finance-and-economy\/4460177\/jamieson-greer-hints-ease-steel-aluminum-tariffs\/\">TRUMP MAY EASE STEEL AND ALUMINUM TARIFFS, TOP TRADE OFFICIAL HINTS<\/a><\/strong><\/p>\n<p>The economy&nbsp;<a target=\"_blank\" rel=\"noopener noreferrer\" href=\"https:\/\/www.washingtonexaminer.com\/news\/4453437\/economy-added-jobs-january-key-facts-figures\/\">added 130,000&nbsp;jobs<\/a>&nbsp;in January, according to the Bureau of Labor Statistics, faster than the rate needed to keep pace with population growth. The unemployment rate ticked down a tenth of a percentage point to 4.3%, a low rate by historical standards. <\/p>\n<p>Still, a revision to the past year&rsquo;s data showed that payroll employment was 1 million lower at the end of 2025 than previously thought. Average monthly payroll growth for 2025 was revised down from roughly 50,000 to 15,000.<\/p>\n<\/div>\n<\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Q4 2025 GDP grew 1.4%, below forecasts<\/p>\n","protected":false},"author":3360,"featured_media":2571845,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2026\/02\/AP24241699598708.jpg?w=696","fifu_image_alt":"","footnotes":""},"categories":[33651],"tags":[9168,19583,10597,74208],"class_list":["post-2571844","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-western-journal","tag-economy","tag-gdp","tag-growth","tag-q4-2025"],"fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2026\/02\/AP24241699598708.jpg?w=696","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2571844","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/3360"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2571844"}],"version-history":[{"count":3,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2571844\/revisions"}],"predecessor-version":[{"id":2571848,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2571844\/revisions\/2571848"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2571845"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2571844"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2571844"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2571844"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}