Goldman Sachs has lowered its first quarter US GDP estimate to 1.9% from 2.3%. Economists at the firm also see Q4 2013 GDP revised down to 2.4% compared to 3.2% reported on January 30. Both come after the disappointing US retail sales data today.
The January retail sales report was a significant disappointment, compounded by negative back revisions. Adverse weather was likely a substantial contributor to the weaker January figures. Separately, jobless claims were roughly in line with expectations.