AI Data Insight
US Real GDP services consumption expenditure recorded a 2.4% year-over-year increase in 2025, a significant slowdown from 2.9% in 2024, reflecting the lagging effects of high interest rates and the impact of the fourth-quarter government shutdown. While demand for health care and housing remains resilient, goods consumption is showing signs of fatigue. Institutions forecast that consumption momentum will further decline to 1.6% in 2026, putting the economic soft landing path to the test.