The U.S. economy grew more slowly than previously thought during the first quarter, per the Bureau of Economic Analysis, as their second estimate of Gross Domestic Product (GDP) for that period showed 1.3% growth. This was down from the 1.6% pace that was initially reported and well below the 3.4% growth seen in the fourth quarter of last year.
Note this data is subject to one more revision when the final reading is released on June 27.
What’s the bottom line? GDP functions as a scorecard for the country’s economic health, so signs of a slowdown are a concern. They also coincide with the Fed’s latest Beige Book survey of regional Fed bank districts, which showed that “overall outlooks grew somewhat more pessimistic amid reports of rising uncertainty and greater downside risks.”