During the third quarter, the U.S. economy picked up the pace, growing at an annual rate of 2.8%. This revised data suggests that as we steered into the all-important holiday shopping season, the economic engine was running smoothly and full of momentum.
The gross domestic product, which serves as a key indicator of the country’s economic health, maintained this growth rate from the initial estimate given last month. MarketWatch surveyed economists who predicted it would stay steady at 2.8%, and that’s precisely what happened.
Consumer spending, which plays a crucial role in driving GDP growth, saw an increase of 3.5%. This is slightly below the previous estimate of 3.7%, but it still highlights the significant role consumers play, as their spending habits account for more than two-thirds of the economy’s activities.
There was also a noteworthy upward revision in business fixed investment, which was adjusted to show a 1.1% rise, a substantial bump from the earlier 0.3% estimate. On the flip side, corporate profits experienced a slight dip of 0.3% in the third quarter following a robust 3.6% gain in the previous quarter.
The rest of the figures in the GDP report saw minimal changes, suggesting that other economic elements held steady during this period.
