Warning: unlink(/tmp/jnewslibrary-tgJqsw.tmp): No such file or directory in /home/customer/www/gasiantimes.com/public_html/wp-admin/includes/class-wp-filesystem-ftpext.php on line 142
US GDP slowed sharply in Q3 but big rebound expected in Q4 - Georgia Asian Times
  • Home
  • Metro Asian News
  • Misc Asia
  • Lifestyle
  • Business
  • Art
  • Health
  • Eat Out
  • Events
  • Podcast
ABOUT
Advertise in GAT
Contact us
Sunday, February 5, 2023
Georgia Asian Times
International Insurance of Georgia
  • Home
  • Metro Asian News
  • Misc Asia
  • Lifestyle
  • Business
  • Art
  • Health
  • Eat Out
  • Events
  • Podcast
  • Login
No Result
View All Result
  • Home
  • Metro Asian News
  • Misc Asia
  • Lifestyle
  • Business
  • Art
  • Health
  • Eat Out
  • Events
  • Podcast
No Result
View All Result
Georgia Asian Times
No Result
View All Result
  • Home
  • Metro Asian News
  • Misc Asia
  • Lifestyle
  • Business
  • Art
  • Health
  • Eat Out
  • Events
  • Podcast
Home Business

US GDP slowed sharply in Q3 but big rebound expected in Q4

The increase in the gross domestic product, the economy’s total output of goods and services, is up from an initial estimate of 2% for the third quarter, the Commerce Department reported

Georgia Asian Times by Georgia Asian Times
November 24, 2021
in Business
Share on FacebookShare on Twitter

Washington DC, Nov 24, 2021 — The U.S. economy slowed to a modest annual rate of 2.1% in the October-December quarter according to the government’s second read of the data, slightly better than its first estimate. But economists are predicting a solid rebound in the current quarter as long as rising inflation and a recent uptick in COVID cases do not derail activity.

The increase in the gross domestic product, the economy’s total output of goods and services, is up from an initial estimate of 2% for the third quarter, the Commerce Department reported Wednesday. But the revision was still well below the solid gains of 6.3% in the first quarter this year and 6.7% in the second.

The small increase from the initial GDP estimate a month ago reflected a slightly better performance for consumer spending, which grew at a still lackluster 1.7% rate in the third quarter, compared to a 12% surge in the April-June quarter. The contribution to GDP from business inventory restocking was also revised up.

The economy’s weak summer performance reflected a big slowdown in consumer spending as a spike in COVID-19 cases from the delta variant caused consumers to grow more cautious and snarled supply chains made items such as new cars hard to get and also contributed to a burst of inflation to levels not seen in three decades.

AD: High Museum of Atlanta

While COVID cases in recent weeks have started to rise again in many parts of the country, economists do not think the latest increase will be enough to dampen consumer spending, which accounts for 70% of economic activity.

The expectation is that the economy in the current October-December quarter could grow at the strongest pace this year, possibly topping 8%.

For the whole year, the expectation is that the economy will grow by around 5.5%, which would be the best showing since 1984 and a big improvement from last year, when the economy shrank by 3.4% as the country struggled with lockdowns.

So far, the improving economy this year has not boosted the approval ratings of President Joe Biden because the U.S., with one of the most rapidly recovering economies, is also caught up in a global supply chain squeeze that is driving prices higher for everything from new cars and gasoline to the cost of food and airline tickets.

Biden this week nominated Federal Reserve Chairman Jerome Powell for a second four-year term to head the central bank. Powell and other Fed officials had earlier in the year insisted that the spoke in pries was being caused by temporary factors, such as those snarled supply chains.

However, recently the central bank has stressed that if the price increase persist it will be ready to start raising interest rates sooner than expected to slow growth as a way of dampening inflation pressures.

Mark Zandi, chief economist at Moody’s Analytics, said he now expected the Fed to boost its benchmark interest twice next year in September and December. Those rate increases will translate into higher borrowing costs for consumers and businesses.

But analysts don’t believe the expected two quarter-point rate hikes will be enough to derail the recovery. They are also optimistic that the global pandemic will be less of a drag next year.

“I think each new wave of COVID cases will be less disruptive to the economy because more people are getting vaccinated,” Zandi said. – AP

Tags: GDPus
Previous Post

Dark green vegetables could help with migraines

Next Post

Wishing you & family a Safe & Happy Thanksgiving

Georgia Asian Times

Georgia Asian Times

Related Posts

Worker pay rises strongly as businesses fight to fill jobs
Business

US adds a surprisingly strong 517,000 jobs despite Fed hikes

February 3, 2023
Biden goes after fees levied for flights, hotels and tickets
Business

Biden goes after fees levied for flights, hotels and tickets

February 2, 2023
Here’s what the Feds Quarter Point interest rate hike means for you
Business

Here’s what the Feds Quarter Point interest rate hike means for you

February 1, 2023
Anti-Asian hate ‘runs the gamut,’ racist Yelp reviews show
Business

Anti-Asian hate ‘runs the gamut,’ racist Yelp reviews show

February 1, 2023
Radioactive capsule that fell off truck found in Australia
Business

Radioactive capsule that fell off truck found in Australia

February 1, 2023
After Tesla price cut, Ford follows suit with Mustang Mach-E
Business

After Tesla price cut, Ford follows suit with Mustang Mach-E

January 31, 2023
Next Post
Wishing you & family a Safe & Happy Thanksgiving

Wishing you & family a Safe & Happy Thanksgiving

Signup Free E-Newsletter

Upcoming Events

Feb 18
6:00 pm - 11:00 pm

Spring Festival 2023

View Calendar
Logo

 

CONTACT US

Follow Us

MOST INFLUENTIAL

GAT 25 Most Influential Asian Americans Gala celebrates Asian voice

GAT 25 Most Influential Asian Americans Gala celebrates Asian voice

July 18, 2022

Video highlights of GAT 25 Most Influential Asian Americans in Georgia

July 17, 2022

2022 GAT 25 Most Influential Asian Americans in Georgia-Awards Gala

July 17, 2022

LINKS OF INTEREST

ATL Asian Film Festival

GAT on Facebook

Lunar New Year of Rabbit - GAT Special Section
  • Contact Us
  • Advertise in GAT
  • ABOUT

© 2023 Georgia Asian Times - Empowered by 8SOL. Managed by Arckopolis.

No Result
View All Result
  • Home
  • Metro Asian News
  • Misc Asia
  • Lifestyle
  • Business
  • Art
  • Health
  • Eat Out
  • Events
  • Podcast

© 2023 Georgia Asian Times - Empowered by 8SOL. Managed by Arckopolis.

Welcome Back!

Sign In with Google
OR

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?

Warning: unlink(/tmp/jnewsfirstload-R6DrGR.tmp): No such file or directory in /home/customer/www/gasiantimes.com/public_html/wp-admin/includes/class-wp-filesystem-ftpext.php on line 142