Economists boost fourth quarter growth closer to 3% as trade war hits imports



Patti Domm | CNBC

Economists boosted their forecasts for U.S. fourth quarter growth Wednesday, after a surprise narrowing of the trade gap in November due to a drop in imports.

Several economists said the decline was likely a direct result of the trade war with China, and nudges U.S. growth higher, at least temporarily, while China is slowing.

Economists participating in the CNBC/Moody’s Analytics Rapid Update raised growth forecasts by 0.2 percentage points to a median 2.7 percent, on a tracking basis. Some economists expect growth to be affected even more and edged their forecasts up closer to 3 percent, though there are still some outstanding economic releases not yet available after the government shutdown.

[Read more here]