US economic growth for the third quarter has been revised upwards from 2 per cent to 2.7 per cent, in the Bureau of Economic Analysis lastest growth estimate.
Growth in the third quarter was attributed to positive contributions from personal consumption expenditure, private inventory investment, federal government spending, residential fixed investment and exports.
The first estimate suggested growth of 2 per cent during the third quarter
The revision to the first estimate reflected upward revisions to private inventory investment and exports.
However, Capital Economics chief US economist Paul Ashworth says while upwards revision to GDP growth was encouraging but suggested the economy had slowed during the fourth quarter.
He says: “Overall, a welcome upward revision, but most of that growth was driven by inventory building and government spending. Fourth-quarter GDP growth is now likely to come in a little below 2 per cent”.