07.04.202614:00:00UTC+00Atlanta Fed GDPNow Trims U.S. Q1 2026 Growth Estimate to 1.3% from 1.6%

The Atlanta Federal Reserve’s GDPNow model has revised its estimate for U.S. economic growth in the first quarter of 2026 down to 1.3%, from a previous projection of 1.6%. The updated reading, published on 7 April 2026, points to a slightly softer expansion than initially expected.

Both the prior estimate and the latest figure refer to the same period — the first quarter of 2026 — highlighting a modest loss of momentum as new data filtered into the nowcasting model. While still signalling positive growth, the 0.3 percentage point downgrade underscores a cooler pace of activity compared with earlier assumptions for the quarter.

The GDPNow model is closely watched by markets as an up-to-date gauge of real GDP growth ahead of official government releases. The latest adjustment will likely feed into investor and analyst reassessments of U.S. growth prospects for the start of 2026, particularly as they weigh the implications for monetary policy and corporate earnings.