The U.S. economy expanded at a slower-than-expected pace in the third quarter, as growth was primarily fueled by increases in consumer and federal government spending.
According to the Bureau of Economic Analysis (BEA), the real GDP growth rate was 2.8 percent from July to September, down from 3 percent in the previous quarter.
Economists maintained a consensus estimate of 3 percent.
A day before the latest GDP figures, the Federal Reserve Bank of Atlanta’s GDPNow Model estimate was downgraded to 2.8 percent from 3.3 percent.
Consumer spending, which accounts for two-thirds of economic growth, continues to accelerate after more than three years of cumulative inflation, high interest rates, and soaring debt levels….