As the Commerce Department's report hits Thursday morning, Wall Street's attention almost immediately will turn to what the signs are for growth going into 2024.
The report likely will "represent a sharp deceleration" from the previous period, Bank of America economist Shruti Mishra said in a client note.
"Incoming data continue to point to a resilient, but cooling, U.S. economy, led by consumer spending on the back of a tight labor market, higher than expected holiday spending, and moderately strong balance sheets."
In addition, the bank expects a slowdown in inventory restocking to shave close to a full percentage point off the headline number.
Looking forward, Bank of America forecasts the first quarter of 2024 to show growth of just 1%.
Persons:
Shruti Mishra, BofA
Organizations:
Street, Commerce, Bank of America, Incoming
Locations:
U.S