Poliakoff & Associates, P.A. Advocacy No Comments

Stagflation is no joke.

GDP published by the Atlanta Fed is now pointing to economic activity shrinking by 0.5% in Q1 caused by Trump’s economic policies including tariffs and cutting government services. The inflation measure has risen at a 4.1% annual rate in the first two months of 2025, the highest in a year. More evidence that Trump’s policies do not work for the American consumer. The S&P 500 is now 9% below its latest high.

We are starting to suffer stagflation which is no April Fools joke. Stagflation is minimal growth mixed with elevated inflation.

Trump said on Saturday that he “couldn’t care less” if car prices spike because of his 25 percent tariffs on auto imports.

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A bar chart that displays the percentage change of major stock indices for the first quarter of 2025. The Nasdaq shows a decline of 10.42%, while the Russell 3000 and S&P 500 decreased by 5.03% and 4.59%, respectively. In contrast, the MSCI World ex USA index rose by 5.5%.