US economy expands by in Q3 2024, aligning with market expectations

(MENAFN) The US economy grew by 2.8 percent on an annualized basis in the third quarter of 2024, as reported by the Bureau of Economic Analysis on Wednesday. This figure aligns with market expectations and reflects a steady pace of economic expansion in the world's largest economy.

In comparison, the economy recorded a growth rate of 3 percent in the second quarter and 1.4 percent in the first quarter of 2024, year-on-year. These figures indicate a moderation in growth after the robust performance earlier in the year. However, the third-quarter growth remains consistent with preliminary projections released in October, which also anticipated a 2.8 percent increase.

The third-quarter expansion was supported by several key factors, including an increase in consumer spending, which remains a significant driver of the US economy. Other contributing elements were higher export levels, increased federal government expenditures, and stronger investments in non-residential fixed assets. These areas collectively bolstered the economy during this period.

Despite the moderation in growth compared to the second quarter, the consistent 2.8 percent rate signals resilience in economic activity. Policymakers and investors will likely analyze these results alongside other economic indicators to gauge the broader outlook and potential adjustments to monetary and fiscal policies.

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