U.S. Review
Yellen at the Senate, While Weather Still Skews Data
• As expected, GDP growth was revised lower, reflecting a slower build in inventories, a weaker trade position and a more cautious consumer.
• Chair Yellen’s Senate testimony indicated a continuation of current monetary policy, although the course could change if weak data turns out to be a slowdown rather than weather related.
• Durable goods orders fell in the month, but new home sales picked up despite the weather.
Global Review
Global Economic Activity Continues to Expand in Q1
• The second estimate of U.K. GDP data confirmed that the British economy ended Q4 on a solid note, and recent data show that the expansion has continued in Q1. Sentiment indicators in the Eurozone continue to trend higher.
• Japanese economic data for January were stronger than expected, although the planned hike in the consumption tax on April 1 may be starting to pull spending forward.
• We discuss recent developments in Ukraine in our Topic of the Week.
Read the full report: Economic Research
Wells Fargo