Atlanta Fed lowers GDP nowcast to 2.4%
The forecasted rate of economic expansion in the United States during the fourth quarter was lowered to 2.4% on Wednesday from 3.6% calculated on November 30, according to the Federal Reserve Bank of Atlanta's GDPNow model.
The estimate of the combined contributions of real net exports and real inventory investment to four-quarter growth dropped to 0.18 percentage points from 0.61 percentage points recorded previously, following last Friday's advance economic indicators report from the U.S. Census Bureau, the body said. Moreover, the forecast of real consumer spending growth in the final quarter declined to 2.2% from 3% after the U.S. Bureau of Economic Analysis released its data on personal income and outlays earlier today. The report showed personal consumption expenditure edged up 0.3% in October from the month before and 1.4% compared to a year ago.