20161227-us-economic-growth-revised-even-higher

The US economy grew even faster than thought in the July-to-September period, latest official figures indicate.

The world’s largest economy grew at an annualised rate of 3.5% in the quarter, up from an earlier estimate of 3.2%, the Commerce Department said.

It was the second time that the figure had been revised upwards, from an initial 2.9%.

The rate of growth in the third quarter was the strongest for two years.

The figure outstrips the second-quarter growth rate of 1.4%.

The Commerce Department said consumer spending, which accounts for more than two-thirds of the US economy, increased at a rate of 3%, compared with the previous estimate of 2.8% and the initial estimate of 2.1%.

“The relative boom of the US economy shows no signs of slowing down, with another strong set of GDP figures,” said Dennis de Jong, managing director at UFX.com.

“[US Federal Reserve] chair Janet Yellen has already stated that another round of rate rises are on top of her to-do list for 2017.

“With the incoming president’s fiscal policy largely yet to take shape, a period of cautious optimism will likely remain for some time.”