Macroeconomic Advisers lowers Q3 GDP forecast to 1.2% but keeps Q4 at 2.0%

As of Thursday, October 14, 2010, Macroeconomic Advisers, the group which provides the data on monthly GDP for the National Bureau of Economic Research (NBER) Business Cycle Dating Committee (BCDC), is now forecasting that annualized real GDP for Q3 will come in at +1.2%, down moderately from an earlier forecast of +1.6%, but keeping their forecast for annualized real GDP growth for Q4 of +2.0%. Annualized real GDP growth for Q2 was +1.6%. These are rather sluggish growth rates, well below the 2.5% rate that most people would consider the minimum for a healthy economy. Nonetheless, the economy is still growing and recovering from the financial crisis and recession of 2008.

Those "hoping" for a double-dip recession will continue to be disappointed.

-- Jack Krupansky