Weekly Economic Update: December 19-23, 2011
GDP growth for Q3 was revised downward to 1.8%. Housing starts increased 9.3% while building permits rose 5.7% in November. Existing home sales were up 4.0% in November while new home sales increased 1.6%. Personal income and personal spending both edged up 0.1% in November. Initial jobless claims fell 4,000 to a level of 364,000 for the week ended 12/17.
- GDP growth for the 3rd quarter of 2011 was revised downward to 1.8%, from previous estimates of 2.0% in the second estimate and 2.5% in the advance estimate. The primary factor behind the revision was a downward revision to personal consumption expenditures. Growth in real GDP over the past four quarters was 1.46%, the lowest such rate since the 4th quarter of 2009.
- Housing starts increased by a greater-than-expected 9.3% to an annual pace of 685,000 units in November. The increase was led by a rise in multi-family housing starts, and the overall level marks a 19-month high in housing starts.
- Building permits unexpectedly rose 5.7% to an annual pace of 681,000 units in November.
- Existing home sales rose by a lesser-than-anticipated 4.0% to an annual pace of 4.42 million units in November. The median home price of $164,200 was down 3.5% from a year ago.
- New home sales rose 1.6% to an annual pace of 315,000 units in November.
- Personal income edged up 0.1% in November as personal spending also increased 0.1%.
- Initial jobless declined 4,000 to 364,000 for the week ended December 17th.