Financial giant Goldman Sachs has lowered the U.S. economic forecast to 1.7 percent for 2025 due to adverse trade policies, according to its report released on Monday.
In a research note, Goldman Sachs chief economist Jan Hatzius revised his 2025 GDP forecast for the United States downward from the previous 2.4 percent.
"The reason for the downgrade is that our trade policy assumptions have become considerably more adverse," Hatzius wrote.
Hatzius also raise his projection for the Fed's preferred inflation gauge to end the year at 3 percent -- up from prior estimates in the mid-2 percent range.
These updated forecasts mark the first time in roughly two and a half years that U.S. GDP growth is expected to fall below consensus data, which currently anticipates above 2 percent growth.
Goldman Sachs slashes U.S. 2025 GDP forecast over adverse trade policies
Goldman Sachs slashes U.S. 2025 GDP forecast over adverse trade policies
China's commodity price index stood at 129.9 points in March, up 4 percent month on month and 14.5 percent year on year, according to data released by the China Federation of Logistics and Purchasing (CFLP) on Sunday.
Among the 50 major commodities under key monitoring by the CFLP, 38 recorded a month-on-month price increase in March.
Specifically, diesel, methanol and ethylene glycol led the gains, rising 30.5 percent, 30.4 percent and 29.3 percent, respectively, from the previous month.
Affected by imported factors such as tensions in the Middle East and a sharp rise in international crude oil prices, China's energy and chemical price indices rose significantly, up 16.5 percent and 21.8 percent month on month, respectively.
Driven by rising international fertilizer prices and growing demand for biofuels, China's agricultural product price index increased by 2.8 percent month on month.
Analysts noted that the sharp rise in the commodity price index in March comes from factors such as the recovery of the domestic commodity market, the good outcomes of policies, and the ongoing tensions in the Middle East.
Given the increasingly volatile international commodity prices and the rising uncertainties in importing energy, chemicals and other commodities, it is necessary to diversify the sources of raw materials, expand the use of alternative resources, and enhance the ability to resist and respond to risky factors that may cause fluctuation in markets, said the analysts.
China's commodity price index up 4 pct in March
