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| Economy | |
| US economy grew at weak 1.1% rate in Q1 in sign of slowdown | |
| 2023-04-28 | |
Thursday's estimate from the Commerce Department showed that the nation's gross domestic product — the broadest gauge of economic output — weakened after growing 3.2% from July through September and 2.6% from October through November. The slowdown reflects the impact of the Federal Reserve's aggressive drive to tame inflation, with nine interest rate hikes over the past year. The surge in borrowing costs is expected to send the economy into a recession sometime this year. Though inflation has steadily eased from the four-decade high it reached last year, it remains far above the Fed's 2% target. The housing market, which is especially vulnerable to higher loan rates, has been battered. Consumer spending, which fuels roughly 70% of the entire economy, has softened. And many banks have tightened their lending standards since the failure last month of two major U.S. banks, making it even harder to borrow to buy a house or a car or to expand a business. THIS IS A BREAKING NEWS UPDATE. AP's earlier story follows below. WASHINGTON (AP) — Despite surging interest rates, punishing inflation and global turbulence, the U.S. economy stood firm last year. From employers to consumers, the picture was one of surprising resilience. This year may be shaping up as a more downbeat story. The economy is widely expected to decelerate steadily and to slip into a recession sometime this year. Some early such signs could begin to emerge Thursday, when the Commerce Department will issue its first estimate of the economy's performance in the first three months of 2023. Forecasters have predicted that the gross domestic product — the broadest measure of economic output — grew at a 1.9% annual rate from January through March, according to a survey by the data firm FactSet. That would mark a significant slowdown from the 3.2% growth rate from July through September and the 2.6% rate from October through December. Related: U.S. economy: 2023-04-18 HHS Secretary Xavier Becerra to Oversee Biden Scheme Opening Obamacare to DACA Illegal Aliens U.S. economy: 2023-04-13 Susan Rice roasted for claiming racism has cost the US $16 trillion: 'This is nuts' U.S. economy: 2023-03-28 Majority of Economists Expect U.S. Economy Will Fall Into Recession This Year | |
| Posted by:Fred |
| #1 We have paid credit cards off with credit cards. In the end the bill comes due. |
| Posted by: Super Hose 2023-04-28 12:46 |