“While growth could be stronger if reduced trade tensions lead to a sustained reduction in uncertainty, the balance of risks is to the downside."
The sharp downward revision suggests inflation will continue to run below the Federal Reserve’s 2% target.
“There is nothing to point to in [the November factory activity] report that signals a bottom in domestic manufacturing."
“There is something of a tug-of-war going on between consumers, who continue to spend, and businesses, which have sharply pulled back on investment.”
“Further escalation of trade tensions and associated increases in policy uncertainty" could result in lower-than-expected growth next year, the IMF says.
With income outpacing expenditures, consumers may have "a good amount of cushion to sustain spending if or as the economy slows."
“The consumer is still very sturdy and providing fundamental strength to the overall economy,” an economist says.
The government's second estimate of GDP showed a rebound in corporate profits as businesses benefited from strong consumer spending.
"The trend in durable goods orders remains decidedly weak" amid worries about a global growth slowdown and trade tensions.
The self-confessed economic outsider faces the challenge of helping stimulate the eurozone economy amid mounting fears of recession.
Trade tensions between the United States and China continue to spur volatility.
“The escalation in trade and tariff tensions earlier this month appears to have shaken consumers’ confidence," the Conference Board says.
