U.S. economic growth in the fourth quarter of 2024 fell short of economist estimates, according to a report released by the Commerce Department on Thursday.
The report said gross domestic product shot up by 2.3 percent in the fourth quarter after surging by 3.1 percent in the third quarter. Economists had expected GDP to jump by 2.6 percent.
The Commerce Department said the GDP growth in the fourth quarter primarily reflected increases in consumer spending and government spending that were partly offset by a decrease in investment.
Meanwhile, a separate report released by the Labor Department on Thursday showed first-time claims for U.S. unemployment benefits pulled back by more than expected in the week ended January 25th.
The Labor Department said initial jobless claims fell to 207,000, a decrease of 16,000 from the previous week’s unrevised level of 223,000. Economists had expected jobless claims to slip to 220,000.
The report also said the less volatile four-week moving average edged down to 212,500, a decrease of 1,000 from the previous week’s unrevised average of 213,500.
At 10 am ET, the National Association of Realtors is scheduled to release its report on pending home sales in the month of December. Pending home sales are expected to rise by 0.4 percent in December after surging by 2.2 percent in November.