Surprisingly, the U.S. economy experienced even stronger growth than anticipated in the third quarter, with robust consumer spending counteracting the impact of higher interest rates, persistent inflationary pressures, and a range of domestic and global challenges.

The Commerce Department’s report on Thursday indicated that Gross Domestic Product (GDP), a measure of all goods and services produced in the U.S., increased at an annualized rate of 4.9% during the July-to-September period.

This marked a significant improvement from the previously unrevised 2.1% growth rate in the second quarter, CNBC reported.

Economists surveyed by Dow Jones had anticipated a 4.7% acceleration in real GDP, which accounts for inflation adjustments.

This notable surge was attributed to contributions from multiple factors, including consumer spending, expanded inventories, exports, residential investment, and government expenditures.

Written by staff