The U.S. economy remained resilient early this year, with a strong job market fueling robust consumer spending.
The trouble is that inflation was resilient, too.
Gross domestic product, adjusted for inflation, increased at a 1.6 percent annual rate in the first three months of the year, the Commerce Department said on Thursday.
That was down sharply from the 3.4 percent growth rate at the end of 2023 and fell well short of forecasters’ expectations.
“It would suggest some moderation in growth but still a solid economy,” said Michael Gapen, chief U.S. economist at Bank of America.
Persons:
”, Michael Gapen
Organizations:
Gross, Commerce Department, Bank of America
Locations:
U.S