Economic Update - 4.29.22
Economic Update - 4.29.22

Featured topics:

  • GDP
  • ULI Spring Economic Forecast
  • Recession Risks
  • Apartment Sector Update
  • Office Sector Update
  • Retail Sector Update
  • Industrial Sector Update
  • Builder Confidence
  • Small Businesses Raising Prices
  • Workforce Confidence Index

1. GDP

• Real GDP decreased by an annualized 1.4% during Q1 2022, down from Q4 2021’s revised figure of 6.9%. This is the first quarterly contraction in US economic growth since the early days of the COVID-19 pandemic in Q2 2020.

• Increased COVID-19 cases due to the Omicron variant continued to disrupt economic activity while government assistance programs, including small business loans, grants to state and local governments, and payments to households, continued to sunset.

• Decreases in motor vehicle sales and retail trade contributed the most to a broader decrease in private inventory investment. Exports declined, largely due to a decrease in sales of nondurable goods, but this was partially offset by an increase in financial serves and other business services. Imports rose over the quarter.

• Personal consumption expenditures rose, largely reflecting a rise in health care and other services, while goods registered a decline. Within goods, nondurable goods, particularly gasoline and other energy-related items, declined. On the other hand, durable goods, led by Motor Vehicles and parts, as well as nonresidential fixed investment, increased.