White House: U.S. economic growth is expected to decelerate significantly this year, and inflation will continue to be stubborn

The White House expects that the U.S. economy will cool significantly in 2024, and even if inflation falls, it will still stubbornly remain above the Fed's target. U.S. President Joe Biden unveiled his fiscal year 2025 budget on Monday, in which he forecasts economic growth of 1.7% in 2024, well below economists' median estimate of 2.1%. After an unexpected 2.5% growth in 2023, most forecasters believe economic growth will decelerate this year, weighed in by high interest rates. The expected figures in the budget were finalized in November last year, when the US had not yet released strong GDP figures for 2023. While the forecast growth rate is lower than economists surveyed by Bloomberg expected, one of Biden's top economic aides said the administration's economic growth rate projections are higher than many others have predicted if you look ahead to the next five to 10 years. Every spring, Biden and his aides prepare a draft budget for the fiscal year from Oct. 1 to Sept. 30, but because the House of Representatives is dominated by Republicans, it is widely believed that Biden's budget will not pass Congress.