US economy grew 1 pc in first quarter
The US economy grew at an annual 1.0 per cent pace in the first quarter of the year, stronger than previously estimated, the government said on Thursday.
By Agencies |
WASHINGTON: The US economy grew at an annual 1.0 per cent pace in the first quarter of the year, stronger than previously estimated, the government said on Thursday.
The Commerce Department revised up the estimate for gross domestic product (GDP) growth from last month's figure of 0.9 per cent.
The final revision, which signals a modest gain in momentum in the face of headwinds from housing and credit crises, was in line with analyst expectations.
However, expansion at a 1.0 per cent annual pace remains subpar for the world's top economic powerhouse.
The revision reflected increases in consumer spending for services, higher exports of goods and services lifted by a weak dollar, and federal government spending, the Commerce Department said.
The major drag on GDP was housing - residential fixed investment fell 24.6 per cent - and consumer spending for durable goods, big-ticket items like cars, computers and refrigerators.
Consumer spending eclipsed trade as the strongest contributor to growth, adding 0.81 percentage points. The change was attributed to stronger spending, which was revised upward to 1.1 per cent in the first quarter from 1.0 per cent.
Trade remained a main driver of economic activity, adding 0.79 percentage points to GDP. Exports jumped 5.4 per cent, nearly double than the prior estimate of 2.8 per cent, while imports were weaker than thought, down 0.7 per cent instead of a rise of 2.6 per cent.
The Commerce Department revised up the estimate for gross domestic product (GDP) growth from last month's figure of 0.9 per cent.
The final revision, which signals a modest gain in momentum in the face of headwinds from housing and credit crises, was in line with analyst expectations.
However, expansion at a 1.0 per cent annual pace remains subpar for the world's top economic powerhouse.
The revision reflected increases in consumer spending for services, higher exports of goods and services lifted by a weak dollar, and federal government spending, the Commerce Department said.
The major drag on GDP was housing - residential fixed investment fell 24.6 per cent - and consumer spending for durable goods, big-ticket items like cars, computers and refrigerators.
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Consumer spending eclipsed trade as the strongest contributor to growth, adding 0.81 percentage points. The change was attributed to stronger spending, which was revised upward to 1.1 per cent in the first quarter from 1.0 per cent.
Trade remained a main driver of economic activity, adding 0.79 percentage points to GDP. Exports jumped 5.4 per cent, nearly double than the prior estimate of 2.8 per cent, while imports were weaker than thought, down 0.7 per cent instead of a rise of 2.6 per cent.
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