By Thomas Cooley and Peter Rupert
The BEA announced that real GDP for Q4 increased 2.08%, nearly the same rate as in Q3. Real GDP increased 2.3% in 2019, 2.9% in 2018 and 2.4% in 2017. Personal consumption expenditures moderated, growing 1.8% and was up 2.6% in 2019. Gross private domestic investment fell considerably, down 6.1%, after falling 1.0% in Q3 and 6.3% in Q2. Non-residential structures fell by 10.1% and fell by 9.9% in Q3, 11.1% in Q2 and was down 4.4% in 2019.
The FOMC announcement seemed a yawner with nothing much to report other than that they are maintaining their stance from the last meeting. Boeings ongoing problems, the Coronavirus Epidemic, and the vagaries of the trade wars represent looming concerns for the economy. The outlook for the first quarter of 2020 is distinctly cloudy.
