US Growth Above Expectations

By Stewart Douglas

The USA has experienced sharper growth over the last quarter than analysts predictions, figures today have shown.

The figures released today show growth of around 0.2 percentage points beyond analyst projections, highlighting a rare good day for the immediate future of the US economy.

The statistics reflected a surprising increase in growth over the last three months as compared to widespread forecasts, which put the US economy growing at a minimal rate.

According to the figures released today, the US economy has grown by 3.4% over the course of last year, as compared to 0.6% growth in the first quarter of the year. 

The figures represent the strongest economic growth experienced across the US economy since the beginning of 2006, perhaps indicating that there may be some light at the end of the tunnel.

The news has been well received on the stock market, and index figures have turned round since the disastrous close during the week, reflecting a perceived turnaround in the direction of the immediate economic future.

With confidence in markets around the world buoyant, the US seems to be on the path to recovery, with minimal apparent impact from wider economic factors.

President Bush has praised the ‘resilience’ of the US economy, which has surprised even the most optimistic of analysts in its apparent turnaround.

The figures seem to show that the US housing slump isn’t having as widespread an effect on the health of the economy as many have predicted, which could be a good sign for the US.

However, consumer expenditure has still shown no sign of recovery, falling 1.3% from the previous 4.2% figure, reflecting that confidence has not yet filtered through to a consumer level.

The Federal Reserve has maintained interest rates at their current levels, and is now anticipating further growth over the coming months through to the first quarter or next year.