Atlanta Fed Bank GDPNow estimate revised lower to 2% in first quarter

The Federal Reserve Bank of Atlanta’s GDPNow model estimate continues to be lowered.

The regional central bank updated the real GDP growth rate to two percent, down from 2.3 percent in the previous projections.

Here is what the Atlanta Fed Bank wrote:

“The GDPNow model estimate for real GDP growth (seasonally adjusted annual rate) in the first quarter of 2023 is 2.0 percent on March 7, down from 2.3 percent on March 1. After recent releases from the US Census Bureau, the US Bureau of Economic Analysis, and the Institute for Supply Management, the nowcasts of first-quarter real personal consumption expenditures growth and first-quarter real gross private domestic investment growth decreased from 3.7 percent and -6.1 percent, respectively, to 3.5 percent and -6.4 percent.”

Here is the chart:

So far this week, the data have shown that factory orders tumbled 1.6 percent in January, wholesale inventories fell 0.4 percent, and the LMI Logistics Managers’ Index slowed to 54.7.