Another backward-looking economic report dispatched a fresh round of hope today for thinking that a new recession isn’t knocking on our collective doorstep. The U.S. economy expanded at an annual real rate of 2.8% in last year’s fourth quarter, the Bureau of Economic Analysis reports. That’s a respectable bit of improvement over Q3’s 1.8% sluggish pace. Granted, the latest number fell short of the consensus forecast, which called for a 3.1% rise .But it’s hard not to notice that the Q4 GDP still rose at the fastest rate since the second quarter of 2010. Perhaps it’s fair to say we’re slumping toward progress.
Daily Archives: January 27, 2012
December Economic Activity Improved, Chicago Fed Reports
Yesterday’s news that the Chicago Fed National Activity Index (CFNAI) increased last month provides another data point to consider in the debate about recession risk. Looking backward doesn’t necessarily tell us what’s coming, but it’s clear that December’s economic momentum strengthened. January and beyond, of course, are still open to interpretation.