The U.S. economy expanded at a 2.8 percent annual rate from July through September, the Commerce Department reported Wednesday, driven largely by resilient consumer spending.
Despite high interest rates and global uncertainties, Americans continued to spend, propelling growth in the face of persistent recession predictions and showing a solid economic performance.
Consumer spending, accounting for roughly 70 percent of U.S. economic activity, grew at an annualized rate of 3.7 percent last quarter, a notable increase from 2.8 percent in the April-June period.
Exports also contributed, with an impressive 8.9 percent rise, adding strength to the quarter’s growth. In contrast, business investment showed mixed results: a downturn in housing and nonresidential buildings slowed overall investment, although spending on equipment rose sharply, reflecting confidence in certain sectors.