In the first quarter, the US economy grew at an annualized pace of 1.3%, down from the initial estimate of 1.6% growth, according to the Bureau of Economic Analysis’s second estimate of first quarter US gross domestic product (GDP). The revised data showed that consumer spending grew at 2% in the first quarter, down from the previous reading of 2.5%. Despite this slowdown, some economists believe that the underlying momentum of the economy remains solid.
Goldman Sachs expects 3.2% annualized growth in the second quarter, while the Atlanta Fed’s GDPNow forecaster is projecting 3.5% growth during the same period. Monthly data from beyond March suggest that the economic expansion is continuing, albeit at a slightly slower pace. Looking ahead, economists anticipate continued GDP gains throughout the year and a healthy advance in 2024 overall.
While concerns about inflation persist as markets are wary of overheating, there is optimism about the resilience of the US economy. Despite challenges posed by inflation and an uncertain economic environment, financial and business news can be found on Yahoo Finance where analysis, insights, and market trends are discussed in depth.