US Q4 GDP, PCE Growth Both Revised Lower, Price Growth Revised Higher

08:49 AM EDT, 03/13/2026 (MT Newswires) -- US economic growth, measured by gross domestic product, was revised lower to a 0.7% increase in Q4 from a 1.4% gain in the advance estimate, compared with an expectation for no revision in a survey compiled by Bloomberg.

GDP rose by 4.4% in Q3.

Personal consumer expenditures were revised down to a 2.0% gain from the 2.4% increase in the advance estimate and were below a 3.5% gain in Q3.

There were also downward revisions to nonresidential fixed investment, government spending and net exports that were offset by upward adjustments to residential fixed investment and private inventories.

The GDP price index was revised up to a 3.8% increase from the previous estimate of a 3.6% gain, while overall PCE and core PCE price measures were unrevised.

The third estimate of Q4 GDP is scheduled to be released on April 9.

The quarterly measure of gross domestic product, or GDP, is released by the US Bureau of Economic Analysis at three stages, with the advance reading about a month after the end of a quarter, followed by second and third readings for the same quarter two and three months after quarter-end.

The data are broken down by each of the GDP components: consumption, fixed investment (which includes residential and nonresidential investment and inventories), government spending, and net exports (exports minus imports). The report also includes prices measures for the overall reading and the categories.

Strong GDP growth is a positive for stocks, but a negative for bonds, especially if it is accompanied by sharp inflation gains.

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