The United States has revealed its first estimate of gross domestic product (GDP) for the first quarter of 2024, indicating a growth rate of 1.6%, according to data released by the U.S. Department of Commerce. This figure falls below analysts’ projections, which had anticipated a growth rate of 2.4%.
The slowdown in economic expansion during the first quarter of 2024 can be attributed largely to a deceleration in consumer spending, indicating potential challenges within the domestic market.
Comparatively, the US economy exhibited varying degrees of growth throughout 2023. In the first, second, third, and fourth quarters of the previous year, GDP expanded by 2.2%, 2.1%, 4.9%, and 3.4%, respectively. However, the latest figures for Q1/24 suggest a moderation in growth momentum, raising concerns among economists and policymakers.
The lower-than-expected GDP growth in the first quarter of 2024 underscores the complexities and uncertainties facing the US economy as it navigates through evolving market dynamics and external pressures. Analysts emphasize the importance of closely monitoring economic indicators and implementing appropriate measures to stimulate growth and mitigate potential risks moving forward.