Trump Acknowledges Economic Transition Amid Recession Fears in 2025

Washington, D.C. - March 10, 2025 - President Donald Trump acknowledged concerns about a potential U.S. recession in 2025, citing a "period of transition" due to his administration's economic policies. While vague on recession predictions, Commerce Secretary Howard Lutnick assured no economic downturn was expected. Uncertainty surrounding Trump's tariff strategies has rattled financial markets, leading to the U.S. stock market's worst week since the last election and declining consumer confidence. Government layoffs, reportedly linked to cost-cutting measures advised by Elon Musk, have added to concerns. The Atlanta Federal Reserve projects a 2.4% GDP contraction for Q1 2025. Economists are divided, with Goldman Sachs raising recession probability estimates and Morgan Stanley warning of softer growth. Trump's administration suggests tariffs may become a long-term strategy, while Treasury Secretary Scott Bessent anticipates a "detox period" for the U.S. economy as government spending is reduced.