UPDATE: GDP grows at stronger-than-forecast 3% rate in third quarter

[Calista241]

Source: Morningstar

The numbers: The U.S. grew at a solid 3% annual pace in third quarter despite damage from two hurricanes, according to Commerce Department data (https://www.bea.gov/national/index.htm#gdp). That's above economist expectations of a 2.7% growth rate, according to a MarketWatch survey, and only slightly below the 3.1% growth rate in the second quarter.

The last time the economy had two consecutive quarters of above-3% growth was in 2014. The government said it couldn't say exactly how much hurricanes Harvey and Irma sliced from growth in the July-September quarter. Because Puerto Rico is not a state, hurricane Maria does not factor in the government's GDP calculations.

...

Nonresidential, or business, investment rose 3.9%. Inventories added 0.73 percentage points to growth and the trade sector added 0.41 percentage points. Excluding those volatile categories, final sales for domestic product rose 2.3% in the third quarter, down from a 2.9% rate in the prior period. Government spending was also up after the hurricane. Housing investment slumped for the second straight quarter.

Core inflation as measured by the PCE price index increased at a 1.3% annual rate, up from 0.9% in the second quarter.

Read more: http://www.morningstar.com/news/market-watch/TDJNMW_20171027285/economy-grows-at-3-rate-in-third-quarter-despite-negative-impact-from-hurricanes.html

[underpants]

1. Wait wait wait there was 3% growth for two months in 2014?

Well gee. That was when Obama was in office.

[Honeycombe8]

2. Two QUARTERS in 2014. 6 months. nt

[underpants]

6. Sorry I meant quarters. My bad.

[Honeycombe8]

3. I'm always glad to see the economy doing well.

It matters. But what Trump has done to effect the economy is minimal, that I can see.

Nothing, really, that this admin. has done. They did away with some regulations, but there hasn't been time for that to have an effect.

[Iliyah]

4. Doesn't include PR? Not a state?

But billions of dollars (maybe)?????????????????

Nope, ain't buying this.

[Kolesar]

5. So, the ACA and Dodd Frank didn't kill growth! ... eom

[groundloop]

8. NO, on the contrary, all the growth is thanks to 45*

Seriously, President Obama did an amazing job repairing the economy from what W did to it (and a lot of that was thanks to the fact that he was willing to listen to people who knew what they were talking about). When 45* gets done I fear we'll have an even bigger mess to clean up.

[LenaBaby61]

10. When 45* gets done I fear we'll have an even bigger mess to clean up.

You fear? NO, we will have the biggest mess EVER to clean up after this pig gets through trashing the economy along with the GOP.

[Pope George Ringo II]

7. Uncertainty is one of the big things we have to consider

Right now we're getting the reaction to "At least we know who won the election and can move forward on that," bump. Pretty soon we'll have the "What is that maniac going to do next?" slump.

[LenaBaby61]

9. Pretty soon we'll have the "What is that maniac going to do next?" slump.

And this economy will belong to tRumputin in 2018.