The Federal Reserve Bank of Atlanta has revised its economic growth estimate for the first quarter downward. Following the release of the ISM survey results and official data, the GDPNow model's forecast for real GDP growth has been adjusted from an initial 3.9 percent (as projected on February 3) to 2.9 percent.
According to the Atlanta Fed, "Recent data from the Institute for Supply Management, the U.S. Bureau of Economic Analysis, and the U.S. Census Bureau have led to a decrease in the projections for first-quarter real personal consumption expenditures growth and real gross private domestic investment growth, moving from 4.1 percent and 6.5 percent, to 3.0 percent and 5.2 percent, respectively."
The upcoming update for the GDPNow model is due on Friday, February 7.
