Q1 GDP was revised upward to 1.1%. Originally GDP was estimated to be 0.5%, then revised up to 0.8% and now reported to be 1.1%. While consumer spending was revised somewhat lower again, exports came to the rescue and bumped up Q1 GDP. Private investment contraction was less than originally estimated as well. Now GDP is still weak but not anything to be concerned about. Seems revisions always change the economic growth story and Q1 is no exception.
The initial Q1 GDP estimate shows economic growth as a stagnant 0.5%. Consumer spending was all services consumption. Private investment just walloped the economy as both nonresidential fixed investment and the changes in private inventories contracted. Exports also receded. An ominous bright spot is residential investment grew by almost half a percentage point. Government spending added to GDP.
The U.S. February 2016 monthly trade deficit increased 2.6% from last month and now stands at -$47.1 billion. America still runs a surplus in services, now at $17.7 billion, but the goods deficit is still massive and this month was -$64.7 billion. The U.S. trade deficit hasn't been this high since August 2015.
Q4 GDP was revised upward again to now be 1.4%. That's double the original advance report of 0.7% and the first revision was 1.0%. The primary cause of the upward revision was more consumer spending in services than previously estimated. The trade deficit Q4 GDP impact was significantly less. Residential housing was revised upward as well.
Our trade deficit rose by 2.2% January, while the net value of both our exports and our imports decreased. The Census report on our international trade in goods and services for January indicated that our seasonally adjusted goods and services trade deficit rose by $1.0 billion to $45.7 billion in January from a December deficit which was revised from $43.4 billion to $44.7 billion
Q4 GDP was revised upward from 0.7% to 1.0%. The primary causes of the upward revision were inventories contracted much less than originally estimated and imports were much less.
The initial Q4 GDP estimate is an ominous 0.7%. Consumer spending was the only dimly lit bright spot,with changes in inventories removing 0.45 percentage points from GDP. The trade deficit didn't help either as exports were less than imports and the end result was a -0.47 percentage point drain on Q4 real GDP. Both government and fixed investment GDP contribution was next to nil.
Our trade deficit fell by 5.0% November, after rising by a revised 5.0% in October, as the net value of both our exports and imports decreased. The Census report on our international trade in goods and services for November indicated that our seasonally adjusted goods and services trade deficit fell by $2.2 billion to $42.4 billion in November from a October deficit which was revised from $43.9 billion to $44.6 billion.
Q3 GDP has been revised to 2.0%. This is a smidgen, a 0.1 percentage point lowering than the last estimate. Most factors which make up GDP did not change much from the primarily estimate. Changes in private inventories was where the revision occurred as they were revised from -0.59 to -0.71 percentage points of GDP. Consumer spending and domestic demand are still muddling along with moderate growth.
Our trade deficit fell by 15.0% in September, virtually reversing the 15.6% jump in August, as the value of our exports rose and the value of our imports fell. The Census report on our international trade in goods and services for September indicated that our seasonally adjusted goods and services trade deficit fell by $7.2 billion to $41.8 billion in September from an August deficit which was revised from $48.3 billion to $48.0 billion.
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