Atlanta Fed: GDPNow model forecast for real GDP growth in Q3 eased to 2.5%

"The GDPNow model forecast for real GDP growth (seasonally adjusted annual rate) in the third quarter of 2017 is 2.5 percent on October 6, down from 2.8 percent on October 5," the Federal Reserve Bank of Atlanta announced on Friday.

Key quotes:

"The forecasts of third-quarter real consumer spending growth and third-quarter real private fixed investment growth declined from 2.5 percent and 1.8 percent, respectively, to 2.2 percent and 0.9 percent, respectively, after this morning's employment report from the U.S. Bureau of Labor Statistics."

"The model's estimate of the dynamic factor for September—normalized to have mean 0 and standard deviation 1 and used to forecast the yet-to-be released monthly GDP source data—fell from 1.53 to 0.18 after the report."