{"id":2130533,"date":"2023-12-21T08:52:02","date_gmt":"2023-12-21T13:52:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/third-quarter-gdp-growth-revised-down-to-4-9-annual-rate\/"},"modified":"2023-12-21T08:54:37","modified_gmt":"2023-12-21T13:54:37","slug":"third-quarter-gdp-growth-revised-down-to-4-9-annual-rate","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/third-quarter-gdp-growth-revised-down-to-4-9-annual-rate\/","title":{"rendered":"Q3 GDP growth revised to 4.9% annually"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">14<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fthird-quarter-gdp-growth-revised-down-to-4-9-annual-rate%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2130533&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><h2>Economic Growth Surges at 4.9% in Q3, Boosting Confidence<\/h2>\n<p>The Bureau of \u200bEconomic\u200b Analysis\u2064 announced on Thursday that economic growth expanded at a remarkable 4.<a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/holiday-spending-expected-to-hit-record-highs-despite-inflation-and-high-interest-rates\/\" title=\"Despite inflation and high interest rates, holiday spending is projected to reach record levels.\">9% seasonally adjusted annual rate<\/a> in the third quarter \u200dof this year. This revised estimate marks the strongest growth since the\u200d country&#8217;s pandemic rebound.<\/p>\n<p>The final GDP estimate for Q3 was slightly revised down by 0.3 percentage points\u2062 from the \u200dprevious \u2063estimate of 5.2%. However, this still indicates a robust and resilient economy.<\/p>\n<h3>Consumer Confidence Soars, Exceeding Expectations<\/h3>\n<p>The impressive growth in the third quarter demonstrates the underlying momentum in \u2064commerce,\u200b even with the Federal Reserve maintaining high interest rates. This positive news not only benefits\u2062 the economy\u2064 but also the Biden administration, which has been \u2062emphasizing the strong GDP growth, low unemployment, and recent declines in inflation to regain public approval.<\/p>\n<p>This report \u200bmarks five consecutive quarters of positive economic growth, raising hopes for a soft landing where inflation decreases while \u2063avoiding a recession.<\/p>\n<p>GDP growth \u200bwas 2.1% in Q2 and 2.2% in \u2062Q1 of this year. The Atlanta\u200b Fed&#8217;s &#8220;GDP Now&#8221; tracker predicts a growth rate of 2.7% in the final quarter of this year.<\/p>\n<p>After a\u200b series of interest rate increases over the past year, the Fed has maintained rates\u200d since July. With recent \u200cdeclines in inflation, \u2062the central bank seems ready to pivot towards rate cuts, with the first cut expected in \u200bQ1 of \u200dnext \u200byear.<\/p>\n<p>Fed Chairman Jerome Powell and other officials have hinted at the end of \u2062rate hikes, although the Fed is proceeding cautiously in adjusting its hawkish monetary\u200c policy. While Fed \u2062officials anticipate three rate cuts next year, investors anticipate even more reductions.<\/p>\n<p>According to \u200dthe\u2064 CME Group&#8217;s FedWatch tool, investors now see an almost 80% probability of rate cuts\u2062 by March. This probability\u200d is calculated using futures contract prices for rates in the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/powell-expected-to-walk-tightrope-on-future-fed-action-in-very-anticipated-annual-speech\/\" title=\"Powell to tread carefully on future Fed action in highly-anticipated speech.\">short-term\u2064 market targeted<\/a> by the Fed.<\/p>\n<p>Despite\u200b the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/despite-skyrocketing-inflation-janet-yellen-will-keep-pushing-for-biden-spending-agenda\/\" title=\"Despite Skyrocketing Inflation, Janet Yellen Will Keep Pushing For Biden Spending Agenda\">higher interest rate environment<\/a>, the labor market remains solid. In November, the economy surpassed expectations by adding nearly 200,000 jobs, and the unemployment rate \u2062dropped\u200c slightly to 3.7%, similar to\u2063 pre-pandemic \u200blevels.<\/p>\n<p>Consumer \u200csentiment has also\u2063 been on the rise in recent\u2062 weeks, aligning\u200d with the Fed&#8217;s goal \u200dof a \u2063soft landing.<\/p>\n<p>The Conference\u200c Board&#8217;s consumer confidence index rose to 110.7 in December, up from 101 the previous month. This \u2063significant \u200dincrease, \u200dthe largest since early 2021, surpassed economic \u200cforecasters&#8217; predictions of\u200c a rise\u200d to only 103.8.<\/p>\n<p>&#8220;December&#8217;s increase in \u200dconsumer confidence reflected more \u2063positive ratings of current business conditions and job availability, as well as less pessimistic views of business, labor market, and\u200d personal income prospects over the next\u200c six months,&#8221;\u200b said\u200b Dana Peterson, chief economist at the\u200d Conference Board.<\/p>\n<p><strong>Click here to read more from The Washington Examiner.<\/strong><\/p>\n<p> <\/p>\n<h2> How has consumer confidence influenced the surge in \u2063economic growth?<\/h2>\n<p><span>  Oiding a recession. The surge in economic growth has been driven by several factors, including increased consumer spending, robust business investment, and a rebound in global trade.<\/p>\n<p>Consumer confidence has been \u2062a major driver of the impressive economic growth. With employment levels reaching pre-pandemic levels and \u2064wages seeing an uptick, consumers have shown increased willingness \u2062to spend. This surge in \u200bconsumer spending has led to \u2063increased demand for goods and services, stimulating economic growth across various sectors.<\/p>\n<p>Another contributor to the strong GDP growth is business investment. As businesses regain confidence in the economy, they have been investing in new equipment, technology, and infrastructure. This increased investment \u2064not only supports economic growth in the short term but also lays the foundation\u200c for long-term productivity gains.<\/p>\n<p>The rebound in global trade has also played a significant \u200crole in the economic surge. As countries around \u2062the world recover from the pandemic, trade volumes have picked up. This increased global trade has\u200b provided a boost to exports, benefiting industries such as manufacturing and agriculture.<\/p>\n<p>Despite the\u200c positive news, \u200cthere are still challenges ahead. Inflation, though currently\u200c under control, remains a concern as supply \u2062chain disruptions and rising commodity prices \u200ccould \u2062put upward pressure on prices. \u200cThe Federal \u2064Reserve will need to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/inflation-falls-to-3-1-in-november-in-positive-sign-for-economy\/\" title=\"November sees a positive economic sign as inflation drops to 3.1%\">carefully manage interest rates<\/a> to \u2063ensure a balance\u2064 between controlling inflation and supporting\u200d economic growth.<\/p>\n<p>Additionally, there is ongoing uncertainty surrounding the COVID-19 pandemic. While vaccination rates have increased, the emergence of new variants poses a\u2063 risk to economic recovery. Continued \u200cefforts to control the spread\u200d of the virus and ensure a high vaccination rate will be crucial in sustaining economic growth in the coming quarters.<\/p>\n<p>Overall, the strong economic growth in the third quarter provides a\u2063 significant boost to confidence. With consumer spending, business investment, and global trade driving the growth, the economy appears to be on a solid path to recovery. However, managing\u2062 inflation and mitigating risks associated with the ongoing pandemic will be crucial in maintaining the positive momentum. The Biden administration will likely continue to highlight these positive economic\u200d indicators as it seeks to rebuild public trust and advance its policy agenda.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Economic growth in Q3 reached a robust 4.9% seasonally adjusted annual rate, according to the Bureau of Economic Analysis. This revised estimate marks the strongest growth since the pandemic recovery began. However, the Q3 GDP was slightly revised down by 0.3 percentage points in its final assessment<\/p>\n","protected":false},"author":1,"featured_media":2130534,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[538],"tags":[],"class_list":["post-2130533","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-washington-examiner"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2130533","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2130533"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2130533\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2130534"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2130533"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2130533"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2130533"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}