The Economy: Glimmers of Good News in GDP

Action Economics says indications of stronger sales growth and much leaner inventories in the fourth quarter could boost first-quarter growth

Two economic reports released on Feb. 28 appeared to deliver bad news for U.S. growth prospects—at least on the surface. Fourth-quarter gross domestic product was unchanged from the initial report, leaving a still-anemic 0.6% growth rate. Also, a pop in initial jobless claims appeared to suggest that we are finally seeing the type of deterioration in this measure that would accompany a more sustained slowdown or recession in the economy.

To continue reading this article you must be a Bloomberg Professional Service Subscriber.