US president says economy is in a “period of transition” amid uncertainty over his trade policies.
United States President Donald Trump has not ruled out the possibility that the world’s largest economy could face a recession, as markets express concerns over his “America First” economic agenda.
In an interview with Fox News that aired on Sunday, Trump avoided giving a direct answer when asked if he anticipated a recession this year.
“I hate to predict things like that. There is a period of transition, because what we’re doing is very big. We’re bringing wealth back to America. That’s a big thing,” Trump said during an interview on *Sunday Morning Futures.*
“It takes a little time, but I think it should be great for us.”
Trump’s comments come amid market uncertainty fueled by his fluctuating announcements on tariffs and signs of a slowdown in the US economy.
Last week, Trump imposed 25 percent tariffs on imports from Mexico and Canada and doubled tariffs on Chinese goods to 20 percent.
However, just 48 hours later, he announced a delay in implementing some of the tariffs on Mexican and Canadian goods until April 2.
The benchmark S&P 500 index fell more than 3 percent from Monday to Friday, marking its worst weekly performance since September.
On Thursday, the Atlanta Federal Reserve’s GDP tracker downgraded its estimate for the January-March period to a 2.4 percent contraction, down from a 2.3 percent expansion last month.
On Friday, Goldman Sachs increased the likelihood of a recession occurring within the next 12 months from 15 percent to 20 percent.
In a more positive sign for the economy, the US Bureau of Labor Statistics reported the addition of 151,000 jobs in January – slightly below economists’ expectations but roughly in line with the 2024 average.
In an interview with NBC later on Sunday, US Commerce Secretary Howard Lutnick dismissed concerns about a potential recession.
“Donald Trump is a winner. He’s going to win for the American people. That’s just the way it’s going to be,” Lutnick said during an interview on *Meet the Press.*
“There’s going to be no recession in America.”
“I would never bet on a recession,” Lutnick added. “No chance.”
For the latest updates and more news, visit ZTC News and Z News Today.