Updated: 30-Oct-24 09:26 ET
| Q3 GDP-Adv. |
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| Updated: 30-Oct-24 09:26 ET |
Highlights
- Real GDP increased at annual rate of 2.8% in the third quarter (Briefing.com consensus 3.0%), a slight deceleration from the 3.0% growth rate registered in the second quarter.
- The GDP Price Deflator was up 1.8% (Briefing.com consensus 2.3%) versus 2.5% in the second quarter.
Key Factors
- Gross private domestic investment was up 0.3% following an 8.3% increase in the second quarter. Gross private domestic investment contributed 0.07 percentage points to growth.
- Exports increased 8.9% following a 1.0% increase in the second quarter. Imports rose 11.2% versus 7.6% in the second quarter. Net exports subtracted 0.56 percentage points from growth.
- Government spending jumped 5.0% after increasing 3.1% in the second quarter. Government spending contributed 0.85 percentage points to growth.
- Real final sales of domestic product, which excludes the change in private inventories, increased 3.0% versus 1.9% in the second quarter.
- The personal savings rate as a percentage of disposable personal income was 4.8% in the third quarter compared to 5.2% in the second quarter.
- The PCE price index increased 1.5% versus 2.5% in the second quarter. The core PCE price index, which excludes food and energy, increased 2.2%, compared to 2.8% in the second quarter.
Big Picture
- The key takeaway from the report is that GDP growth was powered by healthy levels of consumer spending. Personal consumption expenditures increased 3.7%. That was the strongest growth rate since the first quarter of 2023 and well in excess of the prior 10-quarter average of 2.3%. The PCE component contributed 2.46 percentage points to real GDP growth in the third quarter.
| Category | Q3 | Q2 | Q1 | Q4 | Q3 |
| GDP | 2.8% | 3.0% | 1.6% | 3.2% | 4.4% |
| Inventories (change) | $60.2B | $71.7B | $17.7B | $44.6B | $67.2B |
| Final Sales | 3.0% | 1.9% | 2.1% | 3.7% | 3.0% |
| PCE | 3.7% | 2.8% | 1.9% | 3.5% | 2.5% |
| Nonresidential Inv. | 3.3% | 3.9% | 4.5% | 3.8% | 1.1% |
| Structures | -4.0% | 0.2% | 6.3% | 6.5% | 1.7% |
| Equipment | 11.1% | 9.8% | 0.3% | 0.7% | -1.1% |
| Intellectual Property | 0.6% | 0.7% | 7.5% | 5.2% | 2.8% |
| Residential Inv. | -5.1% | -2.8% | 13.7% | 2.5% | 7.7% |
| Net Exports | -$1077.1B | -$1035.7B | -$977.0B | -$936.7B | -$938.9B |
| Export | 8.9% | 1.0% | 1.9% | 6.2% | 4.9% |
| Imports | 11.2% | 7.6% | 6.1% | 4.2% | 4.7% |
| Government | 5.0% | 3.1% | 1.8% | 3.6% | 5.7% |
| GDP Price Index | 1.8% | 2.5% | 3.0% | 1.5% | 3.2% |
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