US: Real GDP grows at an annual rate of 2% in Q1 vs. 1.3% expected

Compared to the fourth quarter, the deceleration in real GDP in the first quarter primarily reflected a downturn in private inventory investment and a slowdown in nonresidential fixed investment that were partly offset by an acceleration in consumer spending, an upturn in exports, and a smaller decrease in residential fixed investment. Imports turned up.

Current‑dollar GDP increased 6.1 percent at an annual rate, or $391.8 billion, in the first quarter to a level of $26.53 trillion, an upward revision of $43.5 billion from the previous estimate.

The price index for gross domestic purchases increased 3.8 percent in the first quarter, the same as the previous estimate. The personal consumption expenditures (PCE) price index increased 4.1 percent, revised down 0.1 percentage point. The PCE price index excluding food and energy prices increased 4.9 percent, a downward revision of 0.1 percentage point.

Disposable personal income increased $587.9 billion, or 12.9 percent, in the first quarter, an upward revision of $26.4 billion from the previous estimate. Real disposable personal income increased 8.5 percent, an upward revision of 0.7 percentage point.