Economists were quick to cut their Q2 growth estimates after soft shipments and core orders in the durable goods orders report.
Bank of America was first, cutting their estimate to 3.3% from 3.5%. Goldman Sachs later lowered its forecast to 3.0% from 3.1%. TD also noted “downside risks” to its 3.0% estimate.
It’s a similar take right across the board. The current Q2 consensus is 3.0% after a -2.9% reading in Q1. Look for that to be revised to slightly lower when the advance GDP reading is released on Wednesday.
A reading of less than 2.9% would put the US in he depressing state of zero growth in the first half of the year.
