Driven by personal consumption expenditures, Q3 GDP was revised up from a growth rate of 3.9% to 5.0% in a solid report released by the Bureau of Economic Analysis. From the release:
Real personal consumption expenditures increased 3.2 percent in the third quarter, compared with an increase of 2.5 percent in the second. Durable goods increased 9.2 percent, compared with an increase of 14.1 percent. Nondurable goods increased 2.5 percent, compared with an increase of 2.2percent. Services increased 2.5 percent, compared with an increase of 0.9 percent.
The consensus was 4.3% with a range from 4.0% – 4.5%. This was a strong report that clearly exceeded expectations.