Gross domestic product increased at a revised 2.7% annualized rate in 2022's final months, the government said in its second estimate of fourth-quarter GDP. That was revised down from the 2.9% pace reported last month.
Economists had expected GDP growth to be unrevised. The robust second-half growth erased the 1.1% contraction in the first six months of the year. Though activity slowed in the last two months of 2022, the economy appears to have regained speed at the start of the new year.
Retail sales growth surged in January and production at factories rebounded as did activity in the services industry. The housing market slump looks to be nearing a bottom, with sales of previously owned homes falling moderately last month. But monthly inflation accelerated in January.