Coming off a week with very limited economic data, this week will provide a wealth of new data. On balance, we expect the data to reflect a slowing in the strong growth at the end of 2017. Real GDP is due to be revised from the 2.6% growth estimate in the advance report to 2.5%. The small downward revision is due to lower growth in consumption than was estimated in the advance report, a larger trade deficit and still low inventory accumulation.

The personal income, spending and inflation data due out this week is not expected to change forecasts for growth in the first quarter. Incomes are rising at a slightly faster pace than the past five years, but growth is not as strong as we expect in coming months. The impact to after tax…

ProBank Austin Advisor – February 26, 2018