Summary

• The primary driver of Q4’s anemic GDP growth had been the collapse in federal government expenditures and investment during the shutdown.
• Overall GDP, including government, trade, and change in inventories, grew by an annual rate of 2.0% in Q1, adjusted for inflation.
• Consumer spending rose by an annual rate of 1.6% in Q1 from Q4, adjusted for inflation.
• Private fixed investment accounted for 18% of the US economy and contributed 1.48 percentage points to the 2.0% GDP growth.

Consumer spending was OK-ish. Federal government spending spiked back partially after collapsing during the shutdown. Trade worsened.

The primary driver of Q4’s anemic GDP growth had been the collapse in federal government expenditures and