U.S. economic growth accelerated slightly in the first quarter from a year earlier, but remained modest at 1.3%, the latest data showed, as high inflation and rising interest rates weighed on the economy.
U.S. economic growth accelerated slightly in the first quarter from a year earlier, but remained modest at 1.3%, the latest data showed, as high inflation and rising interest rates weighed on the economy.
Preliminary figures released by the government showed gross domestic product (GDP) growing at a rate of 1.1%. GDP is partly the official measure of the U.S. economy.
Meanwhile, adjusted pre-tax corporate profits fell sharply by 5.1% in the first quarter, marking the third straight quarter of decline. The last time this happened was in 2015.
Much of the growth in the first quarter was led by the economy’s main engine, consumer spending. Spending rose at a strong 3.8%, compared with a preliminary reading of 3.7%.
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U.S. economic growth accelerated slightly in the first quarter from a year earlier, but remained modest at 1.3%, the latest data showed, as high inflation and rising interest rates weighed on the economy.
Preliminary figures released by the government showed gross domestic product (GDP) growing at a rate of 1.1%. GDP is partly the official measure of the U.S. economy.
Meanwhile, adjusted pre-tax corporate profits fell sharply by 5.1% in the first quarter, marking the third straight quarter of decline. The last time this happened was in 2015.
Much of the growth in the first quarter was led by the economy’s main engine, consumer spending. Spending rose at a strong 3.8%, compared with a preliminary reading of 3.7%.
The main source of GDP growth was an upward revision to inventories. Inventories, or unsold goods, were revised down by $129.6 billion from the $138.0 billion originally reported.
(This article is translated from MarketWatch. MarketWatch is operated by Dow Jones, the parent company of The Wall Street Journal, but MarketWatch is independent of Dow Jones Newswires and The Wall Street Journal.)