Investment growth weakened in the fourth quarter, growing at just a 4.4 percent annual rate. Most of the slowdown was attributable to less investment in equipment and software. This component increased at just a 5.8 percent annual rate after increasing at nearly a 20 percent rate over the prior four quarters. The biggest factor in the slowdown was a sharp drop in investment in transportation equipment. This will likely be reversed in future quarters.
Read the full GDP Byte.