The US economy expanded at an annualized rate of 0.5% in Q4 2025, revised down further from 0.7% in the second estimate and 1.4% in the preliminary reading, mainly due to a downward revision to investment. Consumer spending slowed more than anticipated (1.9% vs 2% in the second estimate), as purchases of both goods (0.3%) and services (2.7%) cooled. Fixed investment also increased less than expected (1.5% vs 1.6%), largely due to a sharp drop in structures (-6.5%) while investment in equipment (4.3%) and intellectual property products (5.4%) remained robust. Residential investment fell more than anticipated (-1.7% vs -0.5%). Exports declined 3.2%, compared to a 3.3% fall, marking the largest contraction since Q2 2023. Imports also fell slightly less than early estimated (-1.0% vs. -1.1%). Meanwhile, government spending and investment contracted sharply (-5.6% vs -5.8%), subtracting 0.99 pp from overall growth, due to the government shutdown. For 2025, the US economy expanded by 2.1%.