The US economy grew faster in the third quarter than previously assumed. The fact that the figure has been adjusted upwards is due to the fact that consumers are spending more, especially on services such as hospitality and travel. Companies in the United States have also invested more.
The new data shows 3.2 percent year-on-year growth, which corresponds to a 0.8 percent growth over the second quarter. In an earlier estimate, growth in the world’s largest economy was 2.9% year-on-year.
Inflation on the rise
The new revision reflects that the US economy is in good shape despite high inflation. A leading indicator of inflation also went up. This will support the Federal Reserve in its announced policy of further rate hikes.
The Federal Reserve announced a more modest rate hike last week but said it would have to raise rates more than most economists thought to keep inflation in check.
Source: BNR
Andrew Dwight is an author and economy journalist who writes for 24 News Globe. He has a deep understanding of financial markets and a passion for analyzing economic trends and news. With a talent for breaking down complex economic concepts into easily understandable terms, Andrew has become a respected voice in the field of economics journalism.
