The U.S. Bureau of Economic Analysis (BEA) released its preliminary third-quarter GDP figures on October 29, showing that among U.S. private fixed investments, investment in computer and peripheral equipment grew at an annualized rate of 66.7% quarter-over-quarter, industrial equipment investment grew by 24.7%, and commercial and healthcare building investment grew by 15.2%. In other categories, mining drilling investment grew by 16.9%, factory construction investment declined by 15.3%, and residential investment declined by 3.3%. Software investment grew at an annualized rate of 9.6% quarter-over-quarter, and investment in communications and other information technology equipment grew by 11.3%. Investment strategist Thorsten Froehlich, based on BEA's breakdown data, calculated that AI-related investment actually increased by 20.6% year-over-year in the third quarter, while other investments increased by 1.2%. He believes the rebound in machinery and construction investment is mainly related to AI infrastructure construction.
