How U.S. economic strength caused GDP to decline in Q1 🤯
The U.S. imported much more than it exported to its weaker trading partners 📈
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Beware the gloomy headlines about U.S. GDP.
According to preliminary1 Bureau of Economic Analysis data released on Thursday, U.S. GDP declined at an annual rate of 1.4%.
However, this negative number belies the relative strength of the U.S. economy.
The whole story can be explained by a single stat: Net exports subtracted 3.2 percentage points from GDP.