Saturday, February 6, 2010

GDP Grows at Fastest Pace in 6 Years



While the ultimate pace of the economic rebound continues to be debated, GDP in the 4th quarter of 2009 rose +5.7% (expectations were for growth of +4.6%), which was the fastest pace in 6 years. Granted, this growth follows an even bigger decline of -6.4% in the first quarter of 2009, but at least it's a start.

Judging by the performance of equities in the fourth quarter, and the earnings reports we've seen so far, we already knew the fourth quarter was strong, the big question is whether or not this growth will continue in Q1.

Based on what we've seen so far in terms of guidance, companies seem to have a positive outlook.

Chart and analysis courtesy of Bespoke Investment Group


No comments:

Post a Comment