The Bureau of Economic Analysis (BEA) has released its advance estimate of second quarter of 2017 GDP and its annual update of the national income and product accounts. This advance estimate is based on data that may be incomplete or revised in the future. The second estimate for the second quarter, based on more complete data, will be released on August 30.
Real GDP increased at an annual rate of 2.6% in the second quarter of 2017, up from a (revised) rate of 1.2% seen in the first quarter of 2017. This increase reflected higher personal consumption expenditures, government spending, nonresidential fixed investment, and exports. While exports are still increasing in the second quarter at a rate of 4.1%, they have slowed down from the first quarter, where they experienced an increase of 7.1%.
Every summer, BEA updates previous GDP estimates, using updated data and methodology. GDP estimates for the past three quarters (the third and fourth quarters of 2016 and the first quarter of 2017) have been reduced from previous figures, signaling that economic growth was not as rapid as previously calculated. Nevertheless, a shrinkage of GDP has not been seen since Q1 2014, and this was an isolated case, indicating that the economy is healthy.
The full report including tables, charts, and data is available below:
On Friday, July 14, the Bureau of Labor Statistics (BLS) released its June 2017 report on the Consumer Price Index.
When seasonally-adjusted, the Consumer Price Index for All Urban Consumers (CPI-U) was unchanged in June. Over the past 12 months, the all-items index rose 1.6%.
The energy index fell by 1.6% in June, less than the 2.7% fall seen in May. The gasoline index over the past 12 months fell by 0.4%, with gas prices falling 1.7% in June, before seasonal adjustment.
The food index, which rose in the past five months, was unchanged in June. The index for food at home fell 0.1%, consistent with the trend over the past twelve months. Most noticeable is the increase in the beef index, which rose 2.9%. The index for food away from home rose 2.2% over the past year, and was unchanged in June.
The index of all items less food and energy rose 0.1% in June, consistent with the trend in April and May. Over the past twelve months, the index rose 1.7%, with noticeable increases in the shelter and medical care indexes, rising 3.3% and 2.7%, respectively.
The next release is scheduled for Friday, August 11.
The full release is available at the link below:
On Friday, July 7, the Bureau of Labor Statistics (BLS) released its June 2017 report on the employment situation, indicating that the economy is healthy. The report is compiled based on the findings of two surveys: the Household Survey and the Establishment Survey. The Household Survey looks at the unemployment rate of major worker groups and the labor participation rate while the Establishment Survey reports on nonfarm payroll employment by major sectors, duration of the average workweek, and average hourly earnings.
The unemployment rate was at 4.4%, only 0.1 percentage points up from May, and a decrease of 0.4 percentage points from January. The number of unemployed persons was at 7.0 million. The labor force participation rate—at 62.8% in June—changed little and has not shown a clear trend in the past year.
Nonfarm payroll employment saw an increase of 222,000, with employment growth in the past year averaging 180,000 per month.
The average workweek for all private nonfarm payroll employees was at 34.5 hours, up 0.1 hours from May. Average hourly earnings for the same demographic rose by 4¢ to $26.25, a continuation of the trend that saw wages rise by 63¢ in the past year. Despite the tightening labor market, there is no sign that wage growth will accelerate.
The next release, covering the July 2017 employment situation, is scheduled for Friday, August 4 2017.
The full release is available below:
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The Bureau of Economic Analysis (BEA) released its third estimate of first quarter 2017 GDP along with its revised estimate of corporate profits on June 29, 2017.
Real GDP increased at an annual rate of 1.4 percent in Q1 2017, down from a 2.1 percent increase seen in Q4 2016. This decrease is the result of reduced government spending, increased imports, and a reduction in private investment, among other factors.
Corporate profits decreased by $48.4 billion, down from a Q4 2016 increase of $11.2 billion.
The next release—the advance estimate of Q2 2017 GDP—is scheduled to be released on July 28.
The full text of this release is available in the PDF below: