During the first quarter of 2021, US GDP continued the recovery that began in 3Q20, registering positive year-on-year growth of 0.40% after three quarters of negative y/y growth. The recovery of economic activity during this period was the result of the increase in both private and public consumption, together with investment and exports. The unemployment rate registered a decrease, reaching a rate of 6.20%, while the employment growth increased to -4.61. Inflation increased compared to the previous quarter, and stood at a rate of 1.90%. Regarding the US dollar, it experienced a depreciation against the euro, to an average exchange rate of 1.21 $/€ during the first quarter of the year.

 


Macroeconomic outlook report: USA 1Q21

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Macroeconomic overview

  • The U.S. economy experienced an improvement and registered a year-over-year rate of 0.40% during the first quarter of 2021, increasing by 2.80 p.p. when compared to the previous quarter.
  • The performance of the economy was mainly driven by the rise in private and public consumption, as well as an increase in investment and exports.
  • Regarding the labor market, the unemployment decreased by 0.50 p.p. with respect to the fourth quarter of 2020, reaching a rate of 6.20%. On the other hand, the year-on-year growth rate of employment increased by 0.92 p.p. when compared to 4Q20, recording a -4.61% rate.
  • The US dollar depreciated against the euro compared to the fourth quarter of 2020, registering an exchange rate of 1.21 $/€ during 1Q21.
  • During 1Q21, inflation in the US registered a rate of 1.90%, after an increase of 0.68 p.p. compared to the previous quarter.

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