4Q GDP rev up to +2.9% SAAR from +2.5% in...>

US DATA: 4Q GDP rev up to +2.9% SAAR from +2.5% in the second estimate, 

stronger than expected, with small upward revisions to PCE, inventories, 

nonresidential fixed investment and government spending offsetting a 

downward adjustment to residential investment and a slightly wider net 

export gap. Analysts expect 1Q GDP to slow, but 2Q GDP to show a pickup.

- The PCE measure was revised up on upward adjustments to both goods and 

services, though durables spending itself was slightly lower. The savings 

rate was revised down to 2.6% from 2.7% in the second estimate, still 

down sharply from 3.4% in 3Q. 

- The prices measures were generally unrevised. The overall GDP price 

index was unrevised at +2.3%, while the closely watched core PCE was 

unrevised at +1.9%, keeping the the y/y rate at +1.5%, up modestly from 

+1.4% in 3Q. 

- Real final sales of domestic product were revised up to +3.4% vs +3.3% 

in second estimate, while sales to domestic purchasers were revised up 

to +4.5% from +4.3%.

- GDI was +0.9% in 4Q, down sharply from +2.4% in 3Q. The GDP/GDI 

average fell to +1.9% from +2.8% in the previous quarter.