Atlanta Fed GDPNow Q2 estimate lowered to 2.9% from 3.4%

Yesterday’s US advance goods trade balance report showed continued softness and that’s been incorporated into the latest GDPNow estimate along with softer consumption in the PCE data. That has it down to 2.9% from 3.4%. It’s steadily grinded lower in the past month but we’re still more than a month away from the first Q2 estimate.

From the Atlanta Fed:

“After recent releases from the US Census Bureau and the US Bureau of Economic Analysis, an increase in the nowcast of the contribution of net exports to second-quarter real GDP growth from 2.07 percentage points to 3.49 percentage points was more than offset by a decrease in the nowcasted GDP growth contribution of inventory investment from -0.42 percentage points to -2.22 percentage points.”

This article was written by Adam Button at www.forexlive.com.