U.S. economic growth slows to 1.9 pct in Q3

Source: Xinhua| 2019-10-30 22:52:11|Editor: Mu Xuequan
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WASHINGTON, Oct. 30 (Xinhua) -- The U.S. economy expanded at an annual rate of 1.9 percent in the third quarter of the year, slightly lower than the 2-percent growth rate in the second quarter, the Commerce Department reported on Wednesday.

The slower growth of the gross domestic product (GDP) in the third quarter reflected decelerations in personal consumption expenditures and government spending, and a larger decrease in nonresidential fixed investment, according to the department.

Personal consumption expenditures, which account for more than two thirds of the overall economy, grew at an annual rate of 2.9 percent in the third quarter, lower than the 4.6 percent growth pace in the second quarter.

Nonresidential fixed investment, a measure of corporate spending on structures and equipment, fell at an annual rate of 3 percent in the third quarter, following a contraction of 1 percent in the previous quarter.

Net exports subtracted a mild 0.08 percentage point from GDP growth in the third quarter after cutting 0.68 percentage point in the previous quarter.

The growth figures came just hours before the Federal Reserve is expected to announce a third interest-rate cut this year to support the economic expansion.

The Fed has already lowered rates twice this year, in July and September, amid growing risks and uncertainties stemming from trade tensions and a global economic slowdown.