August 23, 2026

Trump: The economy will rebound but there are risks of recession

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US President Donald Trump asserted on Friday that his policies would ultimately lead to economic prosperity, while acknowledging the possibility of a recession in the initial phase.

The world’s largest economy’s gross domestic product (GDP) declined by 0.3% in the first quarter of 2025, at an annual rate, as Trump’s second term in the White House began, according to figures released Wednesday.

“It’s a transition, and I think it’s going to be a great transition,” Trump told NBC News, according to excerpts from an interview NBC News will broadcast in full on Sunday.

Asked about the risk of a recession in the United States, he replied, “Anything can happen”.

He continued, “But I believe we will witness the greatest economy in the history of our country… I believe we will witness the greatest economic boom in history”.

Financial markets have been in turmoil since Trump returned to the White House, as he launched a trade war, imposing comprehensive tariffs on products imported into the United States.

However, stock prices rebounded on Friday on Wall Street after the release of a government report on unemployment and employment that included better-than-expected data.

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