U.S. electricity demand has increased by 5.5% year-on-year this year, which may indicate that U.S. GDP growth exceeds 3%
A report released by Goldman Sachs shows that as of this year, electricity demand in the United States has increased by 5.5% year-on-year, significantly higher than the average annual growth rate of 0.6% over the past decade. Analysis by Zerohedge suggests that this may indicate that the current GDP growth rate in the United States could have reached 3% or even higher
A report released by Goldman Sachs shows that as of this year, electricity demand in the United States has increased by 5.5% year-on-year, far exceeding the average annual growth rate of 0.6% over the past decade.
Data shows that while all electricity sectors contributed to this growth, more than half of the increase came from residential electricity use.
At the same time, electricity demand in the industrial sector, primarily driven by data centers, has surged.
Moreover, these figures have been adjusted for the impact of cold weather in January and February.
Financial blog Zerohedge analyzes that it is noteworthy that, in the context of slowing GDP growth in the first quarter (entirely due to companies importing large quantities before tariff increases and reduced government spending, both related to Trump’s policies), the gap between weather-adjusted electricity demand growth and GDP growth in the United States has turned positive for the first time, jumping from -0.9 percentage points last month to +0.4 percentage points, while the average over the past decade has been -1.9 percentage points. In other words, from a historical correlation perspective, this suggests that the current GDP growth rate in the United States may have reached 3% or even higher
