The US economy unexpectedly shrank 1.4% during the first 3 months of the year as a result of continued inflationary pressures, a large import trade imbalance, the Ukraine war, a drop in retail and corporate inventory purchasing, reduced demand in new home sales and a potential slowdown in other parts of the world like China and Europe, which may signal that the US economy is headed into a recession (if not already in one) according to some economists.

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