US fourth quarter GDP revisions:
- The second reading was 1.0%
- Consumption +2.4% vs +2.0% expected
- Second reading on consumption was +2.0%
- GDP price index +0.9% vs +0.9% expected
- Core PCE +1.3% vs +1.3% expected
Some of the breakdown:
- Business investment -2.1% vs -1.9% prior
- Durables +3.8% vs +3.4% prior
- Exports -2.0% vs -2.7% exp
- Imports -0.7% vs -0.6% exp
Looks like improvements in trade and consumption were the reasons for the revision. The major worry in the report were corporate profits after tax. The were down 8.4% vs -2.5% expected in Q4. For 2015 as a year, they were down 5.1%. Part of the reason for the dismal reading was because BP accounted for the oil spill payout of $20.8B in the quarter. Other resource firms also struggled mightily along with manufacturing and the US dollar weighed.
That's the only item on the economic calendar today. Enjoy the holiday.