Trump's trade advisor Peter Navarro stated that the market needs to look beyond the surface to understand the essence, asserting that the GDP contraction reported for the first quarter of the United States is actually good news, calling it “the best negative number I have seen in my life.”

The U.S. Department of Commerce reported that the GDP for the first quarter of 2023 shrank by 0.3% year-on-year, marking the first quarterly negative growth since the second quarter of 2022, nearly three years ago.

Navarro mentioned that the GDP contraction is primarily due to a surge in imports, which distorted the actual growth figures. He emphasized that today's data indicates an unusual spike in import volumes because other countries want to export products to the U.S. before tariff implementations. He predicted that the situation would completely reverse in the next quarter.

When asked about Trump attributing the negative growth to Biden, Navarro agreed, stating that a series of spending bills are the toxic fruit of the Biden administration that will plunge debts into a fiscal cliff. He also reiterated that the first quarter's GDP figures are encouraging, highlighting a 22% growth in domestic investment.