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- India: GDP Press (Q3)
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Economy in Brief
U.S. New Home Sales Almost Unchanged Since August
New single-family home sales around the country changed very little in October and also in September...
U.S. Q3 Growth GDP Unrevised at 33.1%; Corporate Profits Rebound
The second estimate of Q3 U.S. real GDP indicated that economic activity rose an unrevised 33.1% q/q...
U.S. Durable Goods Orders Rise Further in October
Manufacturers’ orders for durable goods increased 1.3% m/m (-0.3% y/y) in October...
U.S. Goods Trade Deficit Deepens During October
The advance estimate of the U.S. trade deficit in goods deepened to $80.29 billion during October...
U.S. Initial Jobless Claims Rise for a Second Week
Initial claims for regular state unemployment insurance rose again this past week ending November 21 to 778,000...
Viewpoints
Commentaries are the opinions of the author and do not reflect the views of Haver Analytics.
by Tom Moeller June 29, 2005
US real GDP growth in 1Q '05 was revised up further to 3.8% (AR), in line with Consensus expectations.
Corporate profit growth (w/IVA & CCA) also was revised up to 6.0% (15.4% y/y) versus the preliminary estimate of a 4.5% increase. Profitability amongst US nonfinancial corporations rose 3.4% (22.6% y/y) instead of declining 0.8% as initially estimated.
The upward revision to profits stemmed from an increase in profit margins which were initially estimated to have declined.
Growth in domestic demand growth also was revised up to 3.5% Growth in business investment was raised slightly to 4.1% (10.9% y/y) and growth in residential building was raised sharply to 11.5% (8.1% y/y). Real PCE growth was left unchanged at 3.6% (3.6% y/y).
The drag on US output growth from a larger foreign trade deficit was little changed as exports grew 8.9% and imports rose 9.6% while the contribution to GDP growth from faster inventory accumulation also was little revised at 0.7%.
The chain price index was revised down to 2.9% growth as the price index for domestic demand was lowered to 2.7% (2.7% y/y).
| Chained 2000$, % AR | 1Q '05 (Final) | 1Q '05 (Prelim.) | 4Q '04 | Y/Y | 2004 | 2003 | 2002 |
|---|---|---|---|---|---|---|---|
| GDP | 3.8% | 3.5% | 3.8% | 3.7% | 4.4% | 3.0% | 1.9% |
| Inventory Effect | 0.7% | 0.8% | 0.5% | 0.2% | 0.4% | -0.1% | 0.4% |
| Final Sales | 3.0% | 2.7% | 3.4% | 3.5% | 4.0% | 3.1% | 1.4% |
| Foreign Trade Effect | -0.6% | -0.7% | -1.4% | -0.6% | -0.4% | -0.3% | -0.7% |
| Domestic Final Demand | 3.5% | 3.2% | 4.5% | 4.1% | 4.4% | 3.4% | 2.1% |
| Chained GDP Price Index | 2.9% | 3.2% | 2.3% | 2.4% | 2.2% | 1.8% | 1.7% |
