3.2% is a bit behind expectations.
On the other hand, consumption/end demand was pretty strong.
Real final sales of domestic product — GDP less change in private inventories — increased 7.1 per cent in the fourth quarter, compared with an increase of 0.9 per cent in the third.
The employment cost index jump of 0.4%.
Stocks are still higher after the news. Bottom line. Not amazing, but not that bad, especially when you look into the internals.
The full release is here.
Background: Here we go with the first look at Q4 GDP. Analysts are looking for growth of 3.5-3.7%, which is well up from the 2.6% we saw last quarter.
Of course, a lot of interested will be paid to the internals, especially how much of the number came from end demand vs. inventories, etc.