But now we're beginning to see the negative fallout from Asia. There is no question the performance of the U.S. economy has been outstanding.
Jobs continue to grow at an impressive rate.
Despite this terrific environment, corporate profits actually fell over the last two quarters. The Commerce Department reported that pre-tax profits fell 2.6 percent and 2.1 percent in the fourth quarter of 1997 and first quarter of 1998, respectively. Yearly Growth Should Slow Picking apart the energetic first quarter GDP figures, there are clues that growth in the current quarter will be significantly slower. Personal consumption expenditures, which represent roughly two thirds of GDP, rose 6.1 percent - the strongest quarterly increase in six years. This spending spree was driven by strong income gains, a firm job market and soaring consumer confidence.