US first-quarter GDP revised to show 0.2% contraction, in line with expectations

Data released by the US Department of Commerce on Wednesday showed that the economic slowdown in the first quarter was not as bad as previously estimated.

The final release of gross domestic product showed a 0.2% contraction at a seasonally-adjusted annual rate, up from a previous estimate of 0.7% contraction, and in line with analysts’ expectations.

“The decrease in real GDP in the first quarter primarily reflected negative contributions from exports, non-residential fixed investment, and state and local government spending that were partly offset by positive contributions from PCE, private inventory investment, and residential fixed investment,” said the Department of Commerce.