Economic overview and forecast for Q1 of 2025

June 13, 2025

In the first quarter of 2025, the U.S. economy showed signs of softening, with GDP declining due to increased imports and reduced government spending. Inflation rose slightly despite lower fuel prices, prompting the Federal Reserve to maintain interest rates and adopt a cautious approach to future cuts. The labor market remained within full employment levels but showed mixed signals, with unemployment edging up. Capital markets suffered losses amid economic uncertainty, inflation concerns, and higher import tariffs. The housing market showed a mix of trends, with rising prices in major cities but constrained sales due to high interest rates.

Honkamp Shareholder Rob Leibfried shares the economic overview and forecast for the first quarter of 2025

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