HERE COMES GDP...

Sam RoApr 30, 2014, 17:35 IST

REUTERS/Carlo Allegri A U.S. flag sticks out the window of a damaged hot rod car in a suburban area after a tornado near Vilonia, Arkansas April 28, 2014. On a second day of ferocious storms that have claimed at least 19 lives in the southern United States, a tornado tore through the Mississippi town of Tupelo on Monday causing widespread destruction to homes and businesses, according to witnesses and local emergency officials. Most of the deaths from the violent storms occurred on Sunday when tornadoes tossed cars like toys in Arkansas and other states.

At 8:30 a.m. ET, we'll get an estimate of GDP from the Bureau of Economic Analysis.

Economists estimate GDP growth decelerated to 1.2% in Q1 from 2.6%. This includes personal consumption growth of 1.9%.

"Despite GDP likely growing at an anemic rate of around 1.0% in Q1, we remain optimistic about the rest of 2014," said Goldman Sachs' Kris Dawsey. "The core narrative for a pickup in growth this year has not changed. The fiscal drag is still lower, consumer spending should still strengthen, and business investment seems poised for a comeback. We see the weakness in Q1 as mainly driven by temporary factors, including a large drag from weather and inventories. The recent encouraging dataflow-with the exception of some of the housing numbers-appears consistent with our forecast for a near-term pickup. For the remainder of 2014, 3%+growth remains our baseline."

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HERE COMES GDP...