Financial firm Berenberg Bank has adjusted its forecasts for U.S. economic growth, lowering projections in response to escalating pressures on the economy. The bank’s latest adjustments come following the announcement of reciprocal tariffs on Wednesday, leading to substantial drops in U.S. stock markets and record high levels of household exposure to these investments. This decline, coupled with growing uncertainty, has deterred both corporate investment and employment plans. 2025 and 2026 projections for real GDP growth have been lowered from 2.3% and 2.0% respectively to 1.7% and 1.6%. The bank attributes this change to tariffs, increased inflation expectations, and the overall economic uncertainty.