The first reading of fourth-quarter (4Q) gross domestic product (GDP) showed the U.S. economy grew at a slower annualized pace of 1.9%. The Commerce Department said Friday the he final reading on third-quarter growth was 3.5%, but fell in President Barack Obama’s final 4Q.
Economists were expecting economic growth to come in at a 2.2% pace.
Overall, the economy grew only 1.6% throughout 2016, which was the weakest pace since 2011. The U.S. economy only grew 2.6% in 2015.
An downward revision to inventory also sliced off of GDP growth last year, while exports fell 4.3% rate and erased the 10% gain seen in the third quarter.
GDP growth in the first two quarters was also negated by cheaper oil and a strong dollar, which hurt company profits and stifled business investment.
Widening trade deficits sliced off 1.7% from GDP growth in the 4Q after adding 0.85% in the 3Q. That was the biggest net-negative from trade since the second quarter of 2010.
Patricia Didelot / January 27, 2017
Pathetic.
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Richard Baris / January 27, 2017
Isn’t it? But unemployment is so low and poverty has fallen and, and, and blah blah blah. Total nonsense. The goods news is that it’s all about to change now.
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Patricia Didelot / January 27, 2017
Richard Baris indeed!!
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