September Monthly Dashboard: Economic growth decelerates in the face of Delta and supply headwinds
After a strong first half of 2021, the winds have shifted a bit for the economy as the Delta variant and supply constraints have slowed activity. In-person activities have again taken the brunt of virus concerns with modestly reduced spending and hiring across the service sector. Input delays and higher costs continue to hamper manufacturing production and sales, too. This suggest a slowdown for the third quarter, but probably not a significant cooling, with real GDP still projected to expand at a solid 3.5-4.0 percent annualized rate.