The central bank's GDPNow tracker of incoming metrics is indicating that gross domestic product is on pace to shrink by 1.5%.

The Atlanta Federal Reserve is projecting a contraction of the nation’s gross domestic product (GDP) of 1.5 percent in the first quarter, flashing a warning sign for the U.S. economy. The

The Atlanta Fed’s GDPNow model on Friday lowered its forecast for the U.S. economy to a contraction at a 1.5% annual rate. This would be the first quarterly contraction in the economy since the first quarter of 2022.

The US economy is setting up to take a major step back in the first quarter after a pair of reports showed weaker consumer spending and a dramatic widening of the trade deficit at the start of the year,