Wednesday, March 28, 2018

Q4 GDP Revised up to 2.9% Annual Rate

by Bill McBride on 3/28/2018 08:38:00 AM

From the BEA: Gross Domestic Product: Fourth Quarter and Annual 2017 (Third Estimate)

Real gross domestic product (GDP) increased at an annual rate of 2.9 percent in the fourth quarter of 2017, according to the "third" estimate released by the Bureau of Economic Analysis. In the third quarter, real GDP increased 3.2 percent.

The GDP estimate released today is based on more complete source data than were available for the "second" estimate issued last month. In the second estimate, the increase in real GDP was 2.5 percent. With this third estimate for the fourth quarter, the general picture of economic growth remains the same; personal consumption expenditures (PCE) and private inventory investment were revised up.
emphasis added
Here is a Comparison of Third and Second Estimates. PCE growth was up to 4.0% from 3.8%. Residential investment was revised down from 13.0% to 2.8%. This was above the consensus forecast.