The Wall Street Journal

The Recession Trade Is Back on Wall Street

Bank stocks and the Russell 2000 have slumped on growth concerns, while Treasurys and gold have rallied

Trade tensions and signs of slowing growth have driven major indexes lower.
Trade tensions and signs of slowing growth have driven major indexes lower. Photo: Seth Wenig/Associated Press

Wall Street is having another growth scare.

Investors entered 2025 optimistic that an already strong U.S. economy could get an extra boost from an administration pushing market-friendly tax cuts and regulatory rollbacks. Instead, trade tensions and signs of slowing growth have driven major indexes lower in recent weeks. 

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