US GDP Seen Rebounding 11.9% In Q3 By Atlanta Fed

One day after the BEA reported that US GDP crashed an annualized 32.9% in the second quarter, the biggest drop since the great depression...

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... today, the Atlanta Fed published its first GDPNow "nowcast" estimate for the third quarter, which is a relatively healthy 11.9% and follows the regional Fed's Q2 GDP estimate which was 0.8% above the official BEA print, at -32.1%.

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The Atlanta Fed's Q3 estimate is most pessimistic than the 18% Q3 GDP consensus estimate from 63 economists polled by Bloomberg, and is just above the lowe-end of the range although both of these numbers will be woefully inaccurate if more US states decide to follow through with another round of shutdowns.

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It goes without saying that if Congress fails to roll over the expiring unemployment benefits into August- which as noted earlier now are instrumental in the record 25% of personal income that is funded by the US government...

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... Q3 GDP will be another unmitigated disaster and far below any official estimates.

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