Trump’s trade war will hit US prosperity hard, IMF warns

President Donald Trump's expansive tariff policies have significantly disrupted the U.S. and global economies. The International Monetary Fund (IMF) has downgraded U.S. growth projections to 1.8% for 2025, citing increased recession risks and inflationary pressures . Tariffs ranging from 25% to 145% on imports have unsettled markets, leading to a 12% drop in the S&P 500 and a surge in gold prices as investors seek safe havens . The IMF warns that these protectionist measures could destabilize global financial systems and hinder economic growth . Despite intentions to bolster domestic industries, the tariffs have introduced economic uncertainty, affecting businesses and consumers alike.
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