The decrease in real GDP reflected decreases in private inventory investment, exports, federal government spending and state and local government spending, while imports, which are a subtraction in the calculation of GDP, increased, BEA said in a release.

Personal consumption expenditures (PCE), non-residential fixed investment and residential fixed investment increased as well.

The decrease in private inventory investment was led by decreases in wholesale trade as well as mining, utilities and construction.

Within exports, widespread decreases in nondurable goods were partly offset by an increase in ‘other’ business services, mainly financial services.

The decrease in federal government spending primarily reflected a decrease in defense spending on intermediate goods and services.

The increase in imports was led by increases in durable goods, notably, non-food and non-automotive consumer goods.

Real gross domestic income (GDI) increased 2.1 per cent in Q1 2022 compared with an increase of 6.3 per cent (revised) in Q4 2021.

The average of real GDP and real GDI, a supplemental measure of US economic activity that equally weights GDP and GDI, increased by 0.3 per cent in Q1 2022 compared with an increase of 6.6 per cent (revised) in Q4 2021.

Fibre2Fashion News Desk (DS)