GDP Rise in Q1 Despite Regional Tensions

GDP grew 2% annualized in Q1, rebounding from 0.5% in Q4 2025.
Federal spending rose 9.3% annually, adding 0.5% to growth.
Consumer spending slowed to 1.6% as 70% of economic activity.
Business investment increased 8.7% due to AI projects.
Federal Reserve kept interest rates unchanged amid uncertainty.
Trump's Iran conflict caused Hormuz blockade, complicating economic models.
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