- The US economy grew at a rapid pace in the last quarter, with a 4.9% annualized GDP growth rate, driven by strong consumer spending.
- Personal spending, a major contributor to growth, increased by 4%, marking the highest rate since 2021.
- Underlying inflation, measured by a key indicator, slowed to its lowest rate since 2020.
- The strength of the job market continues to fuel household demand, contributing to the economy’s resilience in the face of high prices and rising borrowing costs.
- The economic performance in the fourth quarter will play a crucial role in Federal Reserve decisions on interest rate hikes, with concerns about inflation remaining above the central bank’s 2% target.