United States – Data from the Bureau of Economic Analysis at the US Department of Commerce indicated that US domestic product growth in the first quarter of the year reached 1.6% on an annual basis.
The office indicated that this growth was recorded according to first estimates.
The Commerce Department said on Thursday that inflation-adjusted gross domestic product increased at an annual rate of 1.6% in the first three months of the year. This represents a sharp decline from the growth rate of 3.4% at the end of 2023, and is also well below expectations.
Earlier, analysts surveyed by the DailyFX website expected that the US economy would grow in 2024 by 2.5% on an annual basis.
Consumer prices (inflation) rose on an annual basis by 3.4% in the first quarter, compared to 1.8% in the last quarter of last year.
Taken together, the first-quarter data was the latest evidence that the Fed’s efforts to tame inflation have stalled.
Inflation is likely to signal that the Fed will wait until at least the fall to start cutting interest rates. Some analysts believe that it is possible that policymakers will not only keep interest rates “higher for longer,” but may raise them further.
Source: Novosti + New York Times
#economy #grew #quarter #year #expected
2024-04-27 03:57:34
