The Commerce Department released on Thursday its "advance" estimate for the U.S. gross domestic product (GDP) for the fourth quarter of 2020, which revealed the U.S. economy grew in line with economists’ forecast in the reviewed period.

According to the estimate, the U.S. real GDP rose at an annual rate of 4.0 percent q-o-q last quarter, following a record growth of 33.4 percent q-o-q in the third quarter, reflecting both the continued economic recovery from the steep declines earlier in the year and the ongoing impact of the COVID-19 pandemic, including new restrictions and closures that took effect in some areas of the United States.

Economists had expected GDP to expand by 4.0 percent.

According to the report, the advance in real GDP in the fourth quarter reflected gains in exports, nonresidential fixed investment, personal consumption expenditures (PCE), residential fixed investment, and private inventory investment, which, however, were partly offset by drops in state and local government spending and federal government spending. Meanwhile, imports, which are a subtraction in the calculation of GDP, rose.