Between January and March 2020, the U.S. economy contracted for the first time in nearly six years. First-quarter U.S. GDP fell at an annualized rate of 4.81%, the U.S. Bureau of Economic Analysis reported.

This figure represents the first contraction of the US economy since the first quarter of 2014, and the worst decline since the fourth quarter of 2008.

The American economy ground to a halt in March as businesses closed and stay-at-home orders were imposed across the country due to the COVID-19 pandemic.

In the current quarter, the economy is expected to contract even further. According to Federal Reserve (Fed) Chairman Jerome Powell, economic activity in the United States "will decline at an unprecedented rate" in the second quarter of 2020, warning of the "severity" of the crisis triggered by the coronavirus pandemic.

Powell emphasized the Fed's willingness "to use all available tools to support the U.S. economy during these challenging times." In that regard, it was reported that the Fed left interest rates unchanged in the range of 0.25% to 0%, respectively.

The Federal Reserve's next meeting is scheduled for June 9-10, at which the central bank will present its new macroeconomic projections.