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Atlanta Fed GDPNow Jumps Back Up From 2.7% to 3.7%

US DATA
  • The Atlanta Fed GDPNow has been revised sharply higher, from 2.7% to 3.7% annualized for Q4, moving back to the ~4% in early estimates from late November.
  • If realised it would show a further acceleration from yesterday’s upward revised 3.2% in the Q3 3rd release.
  • The upward revision was however driven almost entirely by inventories (contribution jumped from 0.3 to 1.1pps).
  • Domestic demand components were mixed, stronger than first thought consumer spending helped (2.3 to 2.5pps) but offset by what’s seen as an even larger residential investment drag (-1 to -1.2pps).

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