Fourth Quarter GDP Posts Surprising Rise

The U.S. economy expanded by 0.2%, instead of an expected decline, thanks to a big gain in consumer spending

The advanced report for the fourth quarter gross domestic product revealed a 0.2% gain that bucked market expectations for a decline of roughly 1.0%. The chain price index actually decreased 0.3% as we warned, due largely to the huge decline in globally traded commodity prices along with a rebound in service import prices from the attack-distorted third quarter level.

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