US: Real GDP increased at an annual rate of 2.6% in fourth quarter of 2017

"Real gross domestic product (GDP) increased at an annual rate of 2.6 percent in the fourth quarter of 2017," the Bureau of Economic Analysis announced on Friday.

Key highlights

In the third quarter, real GDP increased 3.2 percent.

The "second" estimate for the fourth quarter, based on more complete data, will be released on February 28, 2018.

The increase in real GDP in the fourth quarter reflected positive contributions from personal consumption expenditures (PCE), nonresidential fixed investment, exports, residential fixed investment, state and local government spending, and federal government spending.

The deceleration in real GDP growth in the fourth quarter reflected a downturn in private inventory investment.

The price index for gross domestic purchases increased 2.5 percent in the fourth quarter, compared with an increase of 1.7 percent in the third quarter.

The PCE price index increased 2.8 percent, compared with an increase of 1.5 percent.

Excluding food and energy prices, the PCE price index increased 1.9 percent, compared with an increase of 1.3 percent.