US DATA: Q3 GDP final rev +0.1 pt to +2.6%, far less of a gain than
expected, and inventories were revised up and consumption down (in
healthcare and fin’l services). This lowered real final sales to just
+0.9%, a very modest pace that shows little momentum. Corp profits were
revised lower as details became available: Pre-tax now +$57.5b, still
mainly in fin’l. Q4 appears to be growing faster as retail sales pick up
GDP Components: Q1 Q2 Q3 Adv Q3 Rev Q3 Final
Real growth +3.7% +1.7% +2.0% +2.5% +2.6%
Real final sales +1.1 +0.9 +0.6 +1.2 +0.9
PCE +1.9 +2.2 +2.6 +2.8 +2.4
Nonres fixed invest +7.8 +17.2 +9.7 +10.3 +10.0
Res fixed invest -12.3 +25.7 -29.1 -27.5 -27.3
Net Exports Contrib cut 0.31 cut 3.50 cut 2.01 cut 1.76 cut 1.70
Inventory Contrib add 2.64 add 0.82 add 1.44 add 1.30 add 1.61