Economists warn of increasing risk for US recession

Economists warn that the risk of a US recession, dubbed "Trumpcession," is increasing due to President Trump's unpredictable tariff policies. Wall Street experienced significant declines, with the Dow Jones down 1.5% and the S&P 500 down 2.4%. Recent data shows a drop in consumer spending and a record trade deficit, raising concerns about economic growth. Goldman Sachs has increased the likelihood of a recession from 15% to 20%, while Morgan Stanley has lowered its GDP growth forecast for 2025. Despite these warnings, many economists believe the US may still avoid a technical recession. However, they acknowledge that the risks are growing amid ongoing market volatility and declining consumer confidence.