NEW YORK (Reuters) - The U.S. economy is expanding at a 2.8 percent annualized rate in the fourth quarter, based on domestic retail sales data in October, the Atlanta Federal Reserve’s GDPNow forecast model showed on Thursday.
This is slower than the 2.9 percent pace for fourth-quarter gross domestic product that the Atlanta Fed’s GDP program calculated on Nov. 9.
The Commerce Department said earlier Thursday U.S. retail sales increased by 0.8 percent last month, compared with a downwardly revised 0.1 percent decrease in September. Sales in August were also weaker than previously thought.
The Atlanta Fed’s program adjusted its view on personal consumption expenditures growth in the fourth quarter to 2.7 percent from the previous estimate of 2.9 percent.
Reporting by Richard Leong; Editing by Dan Grebler and Chizu Nomiyama