To bring you up to date with the most recent news on the Economy the U.S. Bureau of Economic Analysis (BEA) issued the following news release today:
Real gross domestic product — the output of goods and services produced by labor and property located in the United States — increased at an annual rate of 2.7 percent in the third quarter of 2012 (that is, from the second quarter to the third quarter), according to the “second” estimate released by the Bureau of Economic Analysis.
In the second quarter, real GDP increased 1.3 percent. The GDP estimate released today is based on more complete source data than were available for the “advance” estimate issued last month. In the advance estimate, the increase in real GDP was 2.0 percent.
It is intersting that both 2011 and 2012 saw weak second quarter growth and then the economy strenghtened as we moved into the third quarter. Now 2.7 percent doesn’t provide us much significant help to impact employment , but just a few weeks ago there seemed to be a building concensus that 2013 was going to trundle along at 2 percent, which barely moves the needle.
How will this impact Commercial Real Estate? Lets allow the Congress to clarify the tax situtation as we close on the end of the year before we make a few predictions.
The full text of the release can be found here: www.bea.gov/newsreleases/national/gdp/gdpnewsrelease.htm