US fourth-quarter GDP growth revised lower to a 0.5% rate
Federal spending fell 16.6% annualized and consumer spending slowed as the shutdown cut 1.16 percentage points from growth, the department said.
- The Commerce Department reported Thursday that U.S. GDP grew at a sluggish 0.5% annual pace in the fourth quarter, marking a downgrade from its previous 0.7% estimate.
- Last fall's 43-day government shutdown slowed economic activity; Federal government spending and investment fell at a 16.6% annual pace, lopping 1.16 percentage points off fourth-quarter GDP growth.
- Consumer spending expanded at a 1.9% pace in the fourth quarter, down from 3.5% in the second quarter and representing a decline from the previous estimate.
- Output decelerated sharply after the third quarter's impressive 4.4% growth, reflecting a broader economic slowdown from 2.1% annual growth last year compared to 2.8% in 2024.
- The economic outlook for this year remains hazy after the U.S.-Israeli war with Iran drove up energy prices and disrupted global commerce; the first look at January-March growth is due April 30.
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40 Articles
Washington and Madrid. The gross domestic product (GDP) of the United States grew only 0.5% at annualized rate in the last quarter of 2025, according to official data updated on Thursday.The previous estimate was an increase of 0.7% for that period, a considerable revision compared to the first projection, of 1.4%.This downward revision is mainly due to a reassessment of the level of investment, as explained by the Office of Economic Analysis, o…
U.S. economy grew a sluggish 0.5% in fourth quarter, government says, downgrading previous estimate
WASHINGTON — The American economy, slowed by last fall's 43-day government shutdown, grew at a sluggish 0.5% annual pace from October through December,...
US fourth-quarter GDP growth revised lower to a 0.5% rate
U.S. economic growth slowed more than previously estimated in the fourth quarter amid downgrades to business investment, including inventory accumulation, but corporate profits increased sharply, government data showed on Thursday.
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