U.S. Economic News
May 30, 2019
U.S. Economic Indicators
The second estimate of Q1 GDP indicates that the U.S. economy expanded at an annualized rate of 3.1%, down slightly from April’s advance estimate of 3.2%. The reading reflects downward revisions in nonresidential fixed investment and private inventories, while exports and consumption spending were revised upward. BEA Report
Initial jobless claims increased 3,000 to 215,000 last week. The four-week moving average fell 3,750 to 216,750. DOL Report
The U.S. Census Bureau Advance Economic Indicators Report shows that the goods deficit widened to $72.1 billion in April from $71.9 billion in March. Meanwhile, wholesale inventories rose 0.7% and retail inventories increased 0.5%. Census Bureau Report
The National Association of Realtors Pending Home Sales Index decreased 1.5% in April (down 2.0% Y/Y). NAR reports that the outlook is favorable due to rising mortgage applications and consumer confidence. NAR Report
U.S. News
Nick Timiraos reports for the Wall Street Journal that the U.S.-China trade spat is complicating the Federal Reserve’s “wait-and-see” approach to monetary policy, as the trade fight scenario involves assumptions around hard-to-predict geopolitical trends. Fearing miscalibrated monetary policy, Fed officials are unlikely to pre-emptively adjust interest rates. WSJ