With Shutdown Over, When Will Key Economic Data Come Out?
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With Shutdown Over, When Will Key Economic Data Come Out?
(A Summary of the Investopedia Article, “With Shutdown Over, When Will Key Economic Data Come Out?”)
The United States faced its most recent federal government shutdown in late 2018–early 2019, a three‑week halt that left millions of federal employees furloughed and many critical data‑collection operations stalled. With the shutdown now behind us, investors, economists, and everyday citizens are eager to know when the next wave of vital economic indicators will hit the markets and news feeds. The Investopedia piece provides a clear, up‑to‑date roadmap for the release of those data points, explaining both the logistical hurdles and the anticipated timelines.
1. The Root Cause: A Budget Impasse
The shutdown was triggered by a disagreement in the House over the federal budget, particularly on spending for the National Defense Authorization Act (NDAA) and the Defense Health Agency. While the article’s authors note that “the impasse was finally broken with a 2019 fiscal year continuing resolution (CR) and a 2020 budget plan signed into law on January 29, 2019,” it also stresses that the resolution did not immediately return all agencies to full staffing. Many agencies remained under a “partial” staff level for several weeks after the CR was enacted, creating a lag in data production.
2. What Data Were Delayed?
The primary agencies responsible for the major economic indicators were affected:
| Agency | Indicator | Typical Release Day | Delay Due to Shutdown |
|---|---|---|---|
| Bureau of Economic Analysis (BEA) | Quarterly GDP estimate | Second Wednesday of the month | 1–2 weeks |
| Bureau of Labor Statistics (BLS) | Employment report & unemployment rate | First Friday of the month | 1–3 days |
| BLS | Consumer Price Index (CPI) | Mid‑month (15th or 16th) | 1–2 days |
| Census Bureau | Housing starts & building permits | 3rd or 4th Friday of the month | 1–2 weeks |
| U.S. Energy Information Administration (EIA) | Energy data | Mid‑month | 1–2 days |
| Department of Labor (DOT) | Jobless claims | Weekly (usually Tuesdays) | 1–2 days |
| Federal Reserve (Fed) | Interest‑rate decisions & FOMC statements | Scheduled, unaffected | – |
The article emphasizes that while the data releases themselves were largely on schedule, the reporting processes (e.g., data cleaning, quality checks, and final approvals) suffered delays. For instance, the BEA’s Q4 2018 GDP estimate, normally due December 18, was released on January 30, 2019—about 6 weeks later.
3. How Agencies Compensated
To minimize the impact, most agencies adopted several contingency measures:
Remote Work – Employees who could work from home completed data verification and preliminary analysis. The article links to the Office of Management and Budget (OMB) guidance on remote work during the shutdown, which clarified the legal authority for employees to perform certain functions from home.
Inter‑Agency Cooperation – The Census Bureau and BEA used data from the BLS and the Department of Labor to fill gaps. For example, the BEA’s “Seasonal Adjustment” process incorporated preliminary employment data that had been released slightly earlier than usual.
Partial Staffing – The Bureau of Labor Statistics retained a core group of analysts and clerical staff to finalize the employment reports, albeit with a slower workflow. The article quotes a BLS spokesperson who noted, “We had to prioritize the most essential data, but we managed to keep the employment reports on track.”
Use of Historical Data – In cases where current data could not be verified (e.g., housing permits), agencies turned to historical averages to provide interim guidance, with a disclaimer about potential inaccuracies.
4. Expected Release Calendar (Post‑Shutdown)
Below is a snapshot of the release schedule for the upcoming months, according to the article’s authors and the official calendars of each agency:
| Date | Indicator | Notes |
|---|---|---|
| February 6 | BEA: Q1 2019 GDP estimate | First Wednesday – standard release |
| February 15 | BLS: Employment report (Jan) | First Friday – nominally unchanged |
| February 18 | BLS: CPI (January) | Mid‑month – same as usual |
| February 23 | Census: Housing starts (January) | 3rd Friday – delayed by one week from typical schedule |
| March 4 | Fed: FOMC statement | Scheduled – no impact |
| March 9 | BLS: Unemployment rate (Feb) | First Friday – delayed by 2 days |
| March 18 | BEA: Q1 2019 GDP revision | Second Wednesday – standard revision date |
| March 22 | DOT: Jobless claims (Feb) | Weekly, slight delay |
The article points out that the Census Bureau’s housing starts and permits remained the most affected, with a consistent one‑to‑two‑week delay for each quarter. Investors should pay particular attention to these figures, as they feed into models of consumer spending and construction activity.
5. What to Watch For
While the article reassures that most data streams are now on track, it cautions that the aftermath of the shutdown may still ripple into the next few quarters. Key points include:
Data Quality vs. Timeliness: “Speed may have come at the cost of some data precision,” the article notes, citing an internal BEA memo that emphasized the need for “additional quality checks” on the Q1 2019 GDP estimate.
Potential for Further Disruptions: The article links to a Congressional Budget Office (CBO) report that outlines how future budget impasses could lead to “prolonged data delays.” It advises readers to stay alert to any news of new budget negotiations.
Economic Outlook: Finally, the article references the Federal Reserve’s Beige Book and the Conference Board’s Consumer Confidence Index as supplementary indicators that could help triangulate the impact of the data delays on the broader economy.
6. Conclusion
With the shutdown over and the federal budget now on track, the United States can expect its flagship economic data to resume its regular cadence, albeit with a few minor delays—most notably in housing data and certain quarterly GDP releases. The Investopedia piece does a commendable job of unpacking the logistical hurdles, providing a clear release calendar, and offering guidance for investors and analysts on what to expect.
Whether you’re a portfolio manager watching the next employment report or a homeowner interested in housing starts, understanding the timing and quality of these indicators is critical. Keep an eye on the agencies’ official calendars, and don’t forget to factor in the short‑term lag caused by the shutdown when making short‑term forecasts.
Read the Full Investopedia Article at:
[ https://www.investopedia.com/with-shutdown-over-when-will-key-economic-data-come-out-11848852 ]