A crane operator loads containers at the Port of Long Beach. Exports helped offset weaker consumer spending in the third quarter. (Allen J. Schaben / Los Angeles Times / November 29, 2012) |
November 29, 2012, 5:41 a.m.
WASHINGTON—
The U.S. economy grew at a faster 2.7 percent annual rate from July through September, although the strength may fade in the final months of the year.The Commerce Department says growth in the third quarter was much better than the 2 percent rate estimated a month ago and more than twice the 1.3 percent rate logged in the April-June quarter.
The two biggest factors in the upward revision were larger gains in business stockpiles and a boost in export sales. That offset weaker consumer spending.
Economists believe growth is slowing to a rate below 2 percent in the current October-December quarter because of disruptions from Superstorm Sandy and worries about sharp tax increases and spending cuts that would occur in January without a budget deal in Washington.
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