Close | X
Sunday, September 24, 2023 9:14:56 AM EDT

GDP-Adv. Updated 30-Aug-23 09:21AM ET

The second estimate for Q2 GDP growth was marked down to 2.1% ( consensus 2.4%) from the advance estimate of 2.4%.

The GDP Price Deflator also got marked down to 2.0% ( consensus 2.2%) from the advance estimate of 2.2%.

The PCE Price Index got revised lower to 2.5% from 2.6%, as did the core-PCE Price Index, which checked in at 3.7% versus the advance estimate of 3.8%.

Personal consumption expenditure growth was revised up to 1.7% from 1.6% and contributed 1.14 percentage points to growth.

Gross private domestic investment was revised down to 3.3% from 5.7% and contributed 0.57 percentage points to growth.

Exports declined 10.6% versus a 10.8% decline seen in the advance estimate. Imports declined 7.0% versus a 7.8% decline seen in the advance estimate. Net exports subtracted 0.22 percentage points from growth.

Government spending was revised up to 3.3% from 2.6% after increasing 5.0% in the first quarter and contributed 0.58 percentage points to growth.

The personal savings rate as a percentage of disposable personal income was 4.5% versus the advance estimate of 4.4%.

Real final sales of domestic product, which excludes the change in private inventories, was 2.2% versus 2.3% in the advance estimate.

The key takeaway from the report is that it fits the soft landing scenario; also, there were downward revisions to the inflation readings, which is something that will continue to drive the market's belief that the Fed can refrain from another rate hike.
Inventories (change)-$1.8B$3.5B$136.5B$38.7B$110.2B
Final Sales2.2%4.2%1.1%4.5%1.3%
Nonresidential Inv.6.1%0.6%4.0%6.2%0.1%
Intellectual Property2.2%3.1%6.2%6.8%8.9%
Residential Inv.-3.6%-4.0%-25.1%-27.1%-17.8%
Net Exports-$1212.2B-$1208.4B-$1238.6B-$1268.8B-$1430.5B
GDP Price Index2.0%4.1%3.9%4.4%9.0%