US GDP Rose 1.6% in the First Quarter of 2024, Far Below the Forecast [Video]

Amid US job growth above forecasts and accelerating inflation, the US economy in the first quarter of this year slowed more than expected.

A news release from the Bureau of Economic Analysis out Thursday showed US real gross domestic product rose at an annualized rate of 1.6%. That’s less than the forecast of 2.5%.

“Despite the expected GDP slowdown in 2024, there are no imminent signs of a recession, showcasing the economy’s continued resilience,” Stephen Rich, chairman and CEO of Mutual of America Capital Management, said in written commentary.

The advance estimate for the first quarter shows real GDP had continued to slow: Real GDP rose at an annualized rate of 4.9% in the third quarter of 2023 before rising at a cooler annualized rate of 3.4% in the fourth quarter.

“Compared to the fourth quarter, the deceleration in real GDP in the first quarter primarily reflected decelerations in consumer spending, exports, and state and local government spending and a downturn …