GOOD GDP

While 24Q4 GDP came in at a slightly disappointing 2.3% annualized rate, down from 3.1% in 24Q3, and 24Q4 expectations of 2.6%, consumer spending, which represents almost 70% of GDP was up a very strong 4.2%. Moreover, the Fed’s favorite inflation measure, core PCE, came in at a bond friendly 2.5%/annum. Much of GDP weakness was due to the drawing down of business inventories and the Boeing strike. Looking good!