The forecast for the US economy this quarter looks weaker now than it did three months ago, but the outlook improved for the rest of the year, according to the third-quarter Survey of Professional Forecasters released today by the Federal Reserve Bank of Philadelphia. The panel of 36 economists in the report forecast GDP would grow by 6.8% in this quarter, down from the previous forecast of 7.5%.
On the other hand, the panel raised its forecast for GDP growth in the fourth quarter of this year as well as the first and second quarters of 2022. It now expects GDP to grow 5.2% in the fourth quarter, up from 5.0% in the previous forecast.
The forecast for US unemployment rates was little changed in today’s report. However, the panel lowered its forecast for monthly job growth in the current quarter to 695,100 from the previous forecast of 753,000. Still, they raised job-growth projections for the fourth quarter and the first half of 2022.
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