ock investors are worried about the possible drag from a prolonged trade war, and bond market investors are acting like a recession is on the way. While economists predict the chances of a recession are slim, economic growth in the first three months of the year did come in much lower than first reported.
I'm Conway Gittens in New York. Despite a one and a half trillion dollar tax cut, that was supposed to spark all kind of buying, new data from the commerce department show that consumer spending in the first three months of the year grew at its slowest pace in nearly five years, and business spending on equipment has slowed down significantly.
And that was before President Trump's America First fight with trading partners, which some fear is clogging factory pipelines, leading to higher prices, and shaking confidence in the corner office. But that's not stopping him from pushing ahead with his agenda. Trump heaped praise on Taiwanese manufacturer, Foxconn, Thursday for building a new plant in Wisconsin, while chastising trading partners the world over.
>> We've lost our companies, we've lost our jobs. They build a product, they send it in. That's why this is so beautiful, because this is as great as there is anywhere in the world, and we do it within our country. As Foxconn has discovered, there is no better place to build higher and grow than right here in the United States.
America is open for business, more than it has ever been open for business.>> 13,000 workers are expected to fill the plant, with taxpayers picking up a $3 billion bill for state subsidies. And what workers gain in Wisconsin, could be lost in California. An executive at the port of LA, America's biggest entry point for Chinese goods, told Reuters business has been down for the past two months.
If Trump's tit-for-tat trade spat leads to a further slowdown in shipping, port workers could become the next unintended casualty of putting America first.