Oct. 30 (UPI) — U.S. third quarter real Gross Domestic Product grew at an annual rate of 2.8%, according to a Wednesday advance estimate from the Bureau of Economic Analysis.
The third quarter GDP growth “primarily reflected increases in consumer spending, exports, and federal government spending,” according to the BEA.
GDP growth was slightly less than expected by economists surveyed by Dow Jones. They had expected 3.1% real GDP growth in the third quarter.
Second quarter GDP growth was initially reported as 2.8% and revised upward to 3% in August.
“Compared to the second quarter, the deceleration in real GDP in the third quarter primarily reflected a downturn in private inventory investment and a larger decrease in residential fixed investment,” the BEA said in a statement. “These movements were partly offset by accelerations in exports, consumer spending, and federal government spending. Imports accelerated.”
The BEA Wednesday also reported current-dollar income grew by $221.3 billion, lower than the $315.7 billion for the second quarter.
Disposable personal income increased 3.1%, or $166 billion due to primarily to pay increases, according to the BEA.
Personal saving was $1.04 trillion in the third quarter, compared with $1.13 trillion in the second quarter.
The BEA said PCE, personal consumption expenditures, rose 1.5% in the third quarter.
Excluding energy and food prices, the PCE index increased 2.2%.
