The US is facing a fiscal tightening in the next 3-4 months, with $150bn in tariffs set to impact corporates and consumers. Without a noticeable fiscal impulse to counteract this, the OBBB stimulus won’t kick in until 2026. Inflation-adjusted primary deficit spending in 2025 is already lower than last year, and if tariffs theory holds, the deficit impulse will be less than in 2023 and 2024. Signs of economic weakness are already emerging. How will the US economy handle this fiscal tightening? Stay informed and check out The Macro Compass for more insights.

Read more at Investing.com: US Faces Stealth Fiscal Tightening as Tariffs Hit Corporate and Consumer Margins