The Latest U.S. GDP Reading Deserves a Closer Look

The Latest U.S. GDP Reading Deserves a Closer Look

  • To the surprise of investors and economists alike, the U.S. economy, as measured by the GDP, grew by 3.2% in the first quarter of 2019, blowing past consensus estimates of 2.3% growth.
  • While the growth number of 3.2% is undoubtedly strong, the underlying data paints a mixed picture of the economy. The greater than expected growth came from historically more volatile components of GDP and slowed from the core components of longer-term stable and sustainable growth.
  • Overall, investors should find comfort in the first quarter growth. These results confirm that growth is not stalling, but rather slowing, a natural side effect given the late stages of this economic cycle, even if the top line GDP numbers are extremely strong.

Read more here

Add Comment

Your email address will not be published. Required fields are marked *