Consumer spending lifted the US economy in the third quarter

Picture copyright
Getty Photographs

Picture caption

Client spending accounts for greater than two-thirds of US GDP

The US financial system grew even quicker than thought within the July-to-September interval, newest official figures point out.

The world’s largest financial system grew at an annualised fee of three.5% within the quarter, up from an earlier estimate of three.2%, the Commerce Division mentioned.

It was the second time that the determine had been revised upwards, from an preliminary 2.9%.

The speed of progress within the third quarter was the strongest for 2 years.

The determine outstrips the second-quarter progress fee of 1.four%.

The Commerce Division mentioned client spending, which accounts for greater than two-thirds of the US financial system, elevated at a fee of three%, in contrast with the earlier estimate of two.eight% and the preliminary estimate of two.1%.

“The relative growth of the US financial system exhibits no indicators of slowing down, with one other robust set of GDP figures,” mentioned Dennis de Jong, managing director at UFX.com.

“[US Federal Reserve] chair Janet Yellen has already said that one other spherical of fee rises are on high of her to-do record for 2017.

“With the incoming president’s fiscal coverage largely but to take form, a interval of cautious optimism will doubtless stay for a while.”