- The Atlanta Fed’s GDPNow tracker projects 1.9% growth for the US economy within the first quarter.
- In early February, the tracker expected 5.four% growth.
- President Donald Trump has touted 3% growth for his administration.
One model that forecasts the US economy’s efficiency noticed one other gargantuan downward revision on Wednesday.
The Federal Reserve Financial institution of Atlanta’s GDPNow model projects that flawed domestic product will amplify at a 1.eight% annualized rate in the first quarter. That’s down from closing week’s 2.5% estimate and successfully below the 5.four% print from the starting of February which changed into as soon as per one month of knowledge. A Bloomberg survey of economists exhibits Wall Boulevard is ready for 2% growth.
The model changed into as soon as revised lower after Tuesday’s CPI document and Wednesday’s evolved retail sales studying. CPI changed into as soon as in line, up 2.2% year-over-year, while retail sales slid 0.1% month-over-month.
“After the day earlier than right this moment’s Consumer Brand Index liberate from the US Bureau of Labor Statistics and this morning’s retail sales document from the US Census Bureau, the nowcast of first-quarter accurate non-public consumption expenditures growth fell from 2.2% to 1.four%,” the Atlanta Fed acknowledged.
Wednesday’s downward revision pushes the Atlanta Fed’s estimate for first-quarter GDP growth successfully below the 3% aim that President Donald Trump has touted for his administration. The US economy grew at a roughly 2% annual rate all over President Barack Obama’s tenure.
First-quarter GDP growth will seemingly be launched April 27.
Foto: supply Atlanta Fed