According to a CICC research report, the U.S. real GDP in the third quarter of 2024 will grow at an annualized rate of 2.8%, slightly lower than the market expectation of 3.0%, and slightly lower than the 3.0% in the second quarter, but it is still a brilliant answer.
In terms of sub-items, personal consumption expenditures are strong, corporate equipment investment is expanding, and exports and government spending are accelerating, indicating that U.S. economic growth is still healthy. Relatively weak are real estate investment and construction investment, indicating that high interest rates are still having a suppressive effect.
In addition, inflation further declined in the third quarter, which means that the U.S. economy is heading for a soft landing. We believe that the Fed does not need to cut interest rates significantly for the time being, and it is expected to cut interest rates by 25 basis points next week. Whether to skip the interest rate cut in December will depend on the progress of inflation. (Jinshi)