GDP Growth Slows Down But Still Beats Predictions for Q3

first_img October 30, 2014 1,399 Views Data Provider Black Knight to Acquire Top of Mind 2 days ago The Best Markets For Residential Property Investors 2 days ago Previous: Allstate Appraisal, Bradford Launch Third-Party Inspection Product Next: California Judge Dismisses $16 Million Verdict Against Servicer Data Provider Black Knight to Acquire Top of Mind 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Demand Propels Home Prices Upward 2 days ago Tagged with: Bureau of Economic Analysis Consumer Spending Federal Reserve GDP Subscribe About Author: Tory Barringer Sign up for DS News Daily  Print This Post The nation’s economy continued to grow at a brisk clip in the third quarter, slowing down from the prior period but still beating forecasts.Gross domestic product (GDP) in the United States increased at an annualized rate of 3.5 percent last quarter, according to an advance estimate from the Bureau of Economic Analysis (BEA). Economists surveyed by Econoday anticipated a growth rate of 3.0 percent.The third quarter’s economic advance compares to an annualized 4.6 percent growth rate in the second quarter and a contraction of 2.1 percent in the first quarter.According to BEA, the increase in real GDP last quarter largely stemmed from contributions from consumer spending, exports, nonresidential fixed investment, and government spending at all levels. Except for federal government spending—which picked up significantly—growth decelerated across all of those categories, resulting in the lower overall rate of expansion compared to Q2.The GDP report comes a day after the Federal Reserve announced plans to close down its stimulative bond-buying program, signaling increased confidence in the economy’s progression.Whatever progress the Fed thinks the country has made, consumers might not be feeling as confident. According to Thursday’s report, consumer spending increased 1.8 percent in the third quarter, dropping from a pace of 2.5 percent in Q2. Meanwhile, personal income rose $152.9 billion, down from $223 billion as wage and salary growth slowed.Thursday’s report from BEA is the first of three the agency will release on third-quarter GDP. The next estimate, based on more complete data than what is available now, is scheduled for November 25.center_img Tory Barringer began his journalism career in early 2011, working as a writer for the University of Texas at Arlington’s student newspaper before joining the DS News team in 2012. In addition to contributing to DSNews.com, he is also the online editor for DS News’ sister publication, MReport, which focuses on mortgage banking news. Servicers Navigate the Post-Pandemic World 2 days ago GDP Growth Slows Down But Still Beats Predictions for Q3 in Daily Dose, Featured, Market Studies, News The Week Ahead: Nearing the Forbearance Exit 2 days ago Demand Propels Home Prices Upward 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Share Save Related Articles Bureau of Economic Analysis Consumer Spending Federal Reserve GDP 2014-10-30 Tory Barringer Home / Daily Dose / GDP Growth Slows Down But Still Beats Predictions for Q3 The Best Markets For Residential Property Investors 2 days agolast_img read more