By Alessandro Albano
Investing.com – It slowed it in the third quarter beyond economists’ forecasts, weighed down by rising inflation, supply chain problems and rising Covid cases in the country.
According to the preliminary reading released by the Department of Commerce, US GDP registered an annual rate of + 2.0% compared to expectations gathered by Investing.com of + 2.7%. In the second quarter, the economy recorded an increase of + 6.7%, after + 6.3% in the first three months of the year.
On the other hand, the recovery of the labor market continues, after having dropped to 281 thousand in the last week, updating the minimum since the beginning of the pandemic, compared to 291 thousand in the previous week.
Wall Street reacts positively to the news of the IP, and at the opening the, the and the all gain 0.5%. The stock rose 1.2% to a yield of 1.547%, while the fell 0.2% to 93.18 with a 0.3% rise to 1.1642 after Christine’s press conference. Lagarde and the ECB meeting.
“Overall, this is a big disappointment as the consensus expectation at the start of the quarter in July was + 7.0% and our 3.5% bearish forecast was also too optimistic,” he said. to Cnbc Paul Ashworth, chief economist of Capital Economics. “We expect some sort of rebound in the final quarter of this year, if only because any negative impact of the Delta variant should be reversed.”
For Dawit Kebede, senior economist at Credit Union National Association, “there may be more growth in the fourth quarter as consumers will be more willing to spend on services that involve in-person interactions,” but supply chain challenges “are likely to continue until next year, making it difficult to meet increased consumer demand. “
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