Trump: US economy enters "transition period", refuses to rule out possibility of recession

US President Trump refuses to rule out the possibility that the US economy will shrink and enter a recession this year. He said his comprehensive economic agenda may cause short-term turbulence, but he believes it will drive future prosperity.

In an interview with Fox News' "Sunday Morning Futures" program, Trump was asked if he expected an economic recession this year. He replied, "I hate predicting such things. There is a transition period because what we are doing is very big. We are bringing wealth back to the United States, which is a big deal."

Trump has already begun a comprehensive reform of the US economy, with his agenda focusing on new tariffs, limiting immigration, cutting regulations, government jobs, and taxes. He also hopes to cut spending on some federal programs. While many businesses welcome his broader agenda, uncertainty about imposing tariffs on close trading partners Mexico and Canada has unsettled the markets. His tariff rhetoric has been inconsistent in recent months.