Powered by strong consumer spending, the U.S. economy grew at the fastest pace in two years from July through September, the government said Thursday in a slight upgrade rom its first estimate.
FILE - A person carries a shopping bag in Philadelphia, Wednesday, Dec. 10, 2025. strong consumer spending , the U.S. economy grew at the fastest pace in two years from July through September, the government said Thursday in a slight upgrade of its first estimate.
America’s gross domestic product — the nation’s output of goods and services — rose at a 4.4% annual pace in the third quarter, the Commerce Department reported Thursday, up from 3.8% in the April-June quarter and from the 4.3% growth the department initially estimated. The economy hasn’t grown faster since third-quarter 2023.Consumer spending, which accounts for 70% of U.S. GDP, grew at a healthy 3.5% pace. Spending on services such as healthcare rose 3.6% versus a 3% uptick on goods spending, including an increase of just 1.6% on so-called durable goods such as cars that are meant to last at least three years. A surge in exports and a drop in imports also contributed to robust third-quarter growth. Business investment rose at a 3.2% clip, partly reflecting bets on artificial intelligence.economic policiesDespite the strong growth numbers, many Americans are dissatisfied with the state of the economy and especially the high cost of living. The gap between how consumers say they feel and the strong spending numbers might reflect what is known as a “.” Wealthier Americans are spending more, their incomes boosted by market gains and growing investments, while lower-income households struggle with stagnant pay and high prices. The job market also looks a lot weaker than the overall economy. Employers have added a lackluster 28,000 jobs a month since March. In the 2021-2023 hiring boom that followed COVID-19 lockdowns, by contrast, they were creating 400,000 jobs a month. Still, the unemployment rate remains low at 4.4%, suggesting a no-hire, no-fire labor market with companies hesitant to bring on new employees but reluctant to let go of the ones they have. “The United States is experiencing a jobless boom where strong growth is powered by AI investments and consumption by wealthier families, but there is almost no hiring,'' said Heather Long, chief economist at Navy Federal Credit Union."It’s an uneasy situation for many middle-class families. One of the big questions for 2026 is whether the middle class will start to feel the uplift from the boom.” Copyright 2026 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed without permission.'Is there anything you want to say to the families?' 'No, not right now'▶WATCH:Here's the moment ex-Uvalde CISD police officer Adrian Gonzales was found not guilty by a juryHoax threat made to Northeast Side school causes fear, panicDeveloper says it wants to work with community to reimagine Lone Star Brewery siteCPS Energy urges conservation during peak hours ahead of icy weekendBexar County helps family on verge of eviction after KSAT storyNorthwest Side neighbor asks for expedited traffic light installation at ‘Dead Man’s Curve’Closing arguments set to begin in child endangerment trial of ex-Uvalde CISD police officerLoad of bees spilled during crash on I-35 likely headed to California, expert says1:23San Antonio TikTok user shares ICE whereabouts to ‘help the community’Wemby says NBA needs more bald players‘We’re all united’: Sights and sounds from San Antonio’s 39th annual MLK MarchCity refills San Antonio River Walk after crews clean out trashFormer MLK Commission chair discusses march's cultural significanceSights and Sounds from MLK March 2026: NEMI House of Glory previews performanceFirst-time MLK March attendee shares atmosphere experience, reason for attendingCounty expedites financial assistance for family at risk of eviction after KSAT report, judge saysCounty expedites financial assistance for family at risk of eviction after KSAT report, judge says▶3D animation traces Robb gunman’s approximate stepsRestaurant Weeks officially returns to San Antonio▶
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Consumer spending pushes US economy up 4.4% in third quarter, fastest in two yearsPowered by strong consumer spending, the U.S. economy grew at the fastest pace in two years from July through September, the government said Thursday in a slight upgrade rom its first estimate.
Read more »
Consumer spending pushes US economy up 4.4% in third quarter, fastest in two yearsPowered by strong consumer spending, the U.S. economy grew at the fastest pace in two years from July through September, the government said Thursday in a slight upgrade rom its first estimate.
Read more »