Reality Bites
Submitted by Tyler Durden on 03/28/2016 11:30 -0400
Earlier today we said that following the abysmal January spending data revision as shown in the chart below:
… that “the Atlanta Fed will have no choice but to revise its Q1 “nowcast” to 1.0% or even lower, which would make the first quarter the lowest quarter since the “polar vortex” impacted Q1 of 2015, and the third worst GDP quarter since Q4 2012. It means one-third of already low Q1 GDP growth has just been wiped away.”
It was “even lower.”
Moments ago the Atlanta Fed which models concurrent GDP, slashed its Q1 GDP from 1.4% (and 1.9% last week) to a number not even we expected: a paltry 0.6%, which would match the “polar vortexed” GDP print from Q1 2015.
Should the number drop even more, will be the lowest since Q1 of 2014 when the US economy suffered its most recent contraction of nearly -1%.
Continue reading “Q1 GDP Crashes To 0.6%: Latest Atlanta Fed Estimate”
