RSS   Newsletter   Contact   Advertise with us
Post Online Media
Post Online Media Magazine

U.S. GDP slows in fourth quarter and all of 2016

Share on Twitter Share on LinkedIn
Staff Writer |
U.S. GDP slows
America   GDP expanded at a quarterly annualized pace of 1.9%

The U.S. economy slowed noticeably at the tail-end of 2016, weighed down by a negative contribution from international trade and lower federal government spending.

Gross domestic product expanded at a quarterly annualized pace of 1.9% during the fourth quarter, according to the Department of Commerce, which was less than 3.5% seen over the previous three months and below forecasts for growth of 2.1%.

On the prices front, the price index for gross domestic purchases printed at 2.0% (consensus: 2.1%), versus 1.5% in the third quarter, while the price deflator for personal consumption expenditures jumped from 1.5% to 2.2%.

At the core level, excluding prices for food and energy that is, PCE on the other hand revealed a decelerating trend in the rate of price increases, from 1.7% in the third quarter to 1.3% in the fourth.

The personal savings rate ticked lower, falling from 5.8% to 5.6%. For all of 2016 GDP grew by 1.6%, down from the 2.6% observed in 2015.

What to read next
POST Online Media Contact