Resilient US Consumers Drive Strongest Economic Expansion In 2 Years – KXL

WASHINGTON (AP) — The U.S. economy economy expanded at a strong 4.3% annual rate from July through September as consumer spending, exports and government spending all grew.

Tuesday’s report from the Commerce Department said U.S. gross domestic product — the economy’s total output of goods and services — up from its 3.8% growth rate in the April-June quarter.

Analysts surveyed by the data firm FactSet forecast growth of 3% in the period.

However, inflation remains higher than the Federal Reserve would like.

The Fed’s favored inflation gauge — called the personal consumption expenditures index, or PCE — climbed to a 2.8% annual pace last quarter, up from 2.1% in the second quarter.