US economy grew below expectations!

The US economy showed growth below expectations in the fourth quarter of 2023. According to data released by the US Department of Commerce, Gross Domestic Product (GDP) increased at an annualized rate of 3.2 percent in the October-December 2023 period. However, this growth rate remained below market expectations.

According to previously released preliminary data, the US economy had grown by 3.3 percent in the fourth quarter of last year. However, according to the second estimates, this growth rate was revised slightly downward.

The US economy recorded an overall growth rate of 2.5 percent in 2023. However, in the data regarding growth in the fourth quarter, it was observed that factors such as consumer spending, exports, and state and local government spending were offset by a decline in private inventory investments.

It was stated that revisions in state and local government spending and consumer spending, in contrast to the decline in private inventory investments, were effective in the revision of the fourth-quarter GDP data.

During this period, the increase in the personal consumption expenditures price index was raised from 1.7 percent to 1.8 percent. Additionally, the increase in the core personal consumption expenditures price index, which excludes food and energy spending, was also revised from 2 percent to 2.1 percent.

All these data are considered an important indicator for evaluating the performance of the US economy in the fourth quarter.

News Source: AA