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4 Sep 2015
Stronger auto sales drive Atlanta Fed to raises Q3 US GDP
FXStreet (Mumbai) - The Atlanta branch of the US central bank has raised its growth forecast for the third quarter in the wake of a stronger auto sales report in August.
"The GDPNow model forecast for real GDP growth (seasonally adjusted annual rate) in the third quarter of 2015 is 1.5 percent on September 3, up from 1.3 percent on September 1," the official release says.
Economists from the Atlanta Federal Reserve also noted that the forecast for third-quarter real personal consumption expenditures growth ticked up from 2.6% to 2.7%, following the latest release of August motor vehicle sales from the US Bureau of Economic Analysis.
The seasonally adjusted annual rate of sales for light vehicles rose to 17.8 million, compared with 17.3 million a year earlier and was the highest since July 2005. The six largest automakers in the US market all beat the sales forecasts.
"The GDPNow model forecast for real GDP growth (seasonally adjusted annual rate) in the third quarter of 2015 is 1.5 percent on September 3, up from 1.3 percent on September 1," the official release says.
Economists from the Atlanta Federal Reserve also noted that the forecast for third-quarter real personal consumption expenditures growth ticked up from 2.6% to 2.7%, following the latest release of August motor vehicle sales from the US Bureau of Economic Analysis.
The seasonally adjusted annual rate of sales for light vehicles rose to 17.8 million, compared with 17.3 million a year earlier and was the highest since July 2005. The six largest automakers in the US market all beat the sales forecasts.