Atlanta Fed Sees GDP Soaring to 5.4% in First Quarter
By: Dr. Jake Baker - TapWires News Service
In my annual look forward I stated my opinion that the economic growth rate for 2018 would hit 5 percent. Apparently, the Atlanta Federal Reserve agrees stating that the U.S. economy is on track to grow at a rate of 5.4 percent if their model hold true.
On Monday the regional Fed’s forecast was revised upward from expected growth annualized at 4.2 percent to an astounding 5.4 percent in the first quarter following a report on manufacturing that showed considerably more expansion than expected. The forecast of real consume spending growth rose from 3.1 percent to 4.0 percent, while the forecast of investment growth rocked from 5.2 percent to 9.2 percent.
This is still an early reading based on just one-month of data, but many economists are skeptical of such robust economic expansion in Q1 of 2018. Most however to see strong growth in the first quarter.
Both the New York Fed and the Atlanta Fed had preliminary fourth quarter estimates for the fourth quarter of 2017 that were substantially higher than the official initial estimate which came in at a 2.6 percent annual growth rate. That figure is still subject to change after all tabulations are completes. Many analysts believe that the figure will be adjusted up slightly.Donald Trump, GDP, U.S.Economy, Growh Rate, 5.4 Percent, Revised