Economists forecasted 1.1% growth, which slipped due to Omicron and inflation.
US Q1 GDP dips 1.4% for the first time.
Food and energy prices increased, scaling up inflation by 8.5% in March to reach its highest level since 1981.
Former Twitter boss Jack Dorsey warned about hyperinflation in October when economists are struggling with the 'Stagflation' tag today.
The economy is under stress, raising questions about its fundamental health and fears of a looming recession.
Negative economic growth for 2 quarters fuelling recession possibilities.
Netizens stormed twitter over ' Inflation at 40 year high + recession = stagflation' equation!
US faces spillover effects from Russia's war in Ukraine, such as EU prospects, raw-material shortages, and supply chain problems.
But personal consumption, which accounts for the majority of the economy, increased by 2.7% on an annualized basis in the first quarter.
Govt officials back the 'very, very strong' economy citing 3.6% unemployment growth and strong household balance sheet.