Recent Economic Developments
Economy Poised for a Growth Rebound
Strong job gains and a continuation of low unemployment last month support the consensus forecast of a resumption of rapid growth in the current quarter. Despite a slowdown in the 4th quarter, growth in the inflation-adjusted (real) gross domestic product (GDP) was a robust 3.5% last year. Forecasters see a sharp rebound in economic growth this quarter, and sustained healthy growth throughout the year. They also see healthy job gains, historically low unemployment, and low inflation and interest rates.