GDP grew at a 2.3% annual rate in Q1, comfortably surmounting the 1.8% consensus expectation. The measure did, however, lose some momentum after a spurt of faster growth last year (GDP rose 3% during the final nine months of 2017), due mainly to a significant slowdown in consumer spending which rose at its slowest pace in nearly five years. In recent years, first-quarter growth has tended to be weaker than other quarters, driven by seasonal factors that later dissipate. That suggests a bounce back in Q2 could come after the effects of the $1.5T tax cut package further materializes.

Existing Home Sales ticked up 1.1% M/M to an adjusted annual rate of 5.6M, but were well below 2017 levels. Tight inventories, rising mortgage rates, and high prices have led to the sluggish start in this segment. New Home Sales, however, which make up a small slice of all US home sales, surged 4.0% M/M to an annual rate of 694K. Causes for this increase were low unemployment and layoff rates and the limited supply of existing homes. Also, according to the S&P Core Logic Case-Shiller National Home Price Index, home prices rose for the 70th-consecutive month through February, up 6.3%, outpacing the 6.1% Y/Y increase reported in January.

Durable Goods Orders increased 2.6% M/M due to increased aircraft orders, but underlying proxies for business investment showed declines. This data gives a mixed picture of US business investment, considering that the 2017 tax plan was meant to encourage firms to spend more on capital expenditures.

Jobless Claims fell 24K to a seasonally adjusted 209K in the week through April 21st, the lowest level since 1969. Economists expected 228K claims. Additionally, continuing unemployment benefit claims fell 29K to 1.8 million through April 14.