Keeping you up to date on the latest data releases.
- Real GDP
Real GDP was unchanged during the second estimate, rising at an annualized rate of 1.8 percent (coming in at the low end of expectations), compared to a 3.1 percent gain in the fourth quarter. While the top line number was essentially unchanged, there were some interesting revisions to the major components. Importantly, real personal consumption growth was (somewhat unexpectedly) revised down from 2.7 percent to 2.2 percent, subtracting 0.4 percentage point from growth. All three major components of consumption (durables, nondurables, and services) were knocked down during the revision. Upward revisions to nonresidential investment and private inventories offset the downward adjustment to consumption. The uptick in nonresidential investment growth was entirely due to a lessening of the decrease in structures investment—from −21.8 percent to −16.8 percent. Equipment and software investment growth was unchanged, rising 1.6 percent in the first quarter. An upward revision to private inventories added 0.3 percentage point to output growth. Also, both exports and imports were revised up moderately: exports from a gain of 5.0 percent to 9.2 percent during the second estimate, and imports were adjusted up from 4.4 percent to 7.6 percent. As some of the first quarter’s growth was swapped from consumption to inventory accumulation, final sales of domestic product (a measure some use to gauge actual demand) was knocked down by 0.2 percentage point to 0.6 percent, its smallest quarterly gain since the third quarter of 2009.