Chart of the Day: That 2008 Feeling...Part 2

Economist

Richard Iley

Macroeconomics

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<p>At 2.6% q/q SAAR,<a href="https://www.bea.gov/newsreleases/national/gdp/2018/pdf/gdp4q17_adv.pdf" target="_blank"> the advance estimate of US Q4 GDP</a> was superficially disappointing but the more the data are dug into, the better they look. <strong>Private-sector domestic demand (what maters most for equities) in fact surged on some measures at its fastest pace in over a decade.</strong> Booming domestic demand sucking in imports at close to their fastest pace in a decade was the dominant factor crimping headline growth. </p>
<p>The key metric to focus on in the GDP report is <strong>final sales to private domestic</strong>…</p>
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At 2.6% q/q SAAR, the advance estimate of US Q4 GDP was superficially disappointing but the more the data are dug into, the better they look. Private-sector domestic demand (what maters most for equities) in fact surged on some measures at its fastest pace in over a decade. Booming domestic demand sucking in imports at close to their fastest pace in a decade was the dominant factor crimping headline growth. 
The key metric to focus on in the GDP report is final sales to private domestic…


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