US GDP grew 2.8% in the third quarter, slower than expected [Video]

The U.S. economy grew slightly slower than expected in the third quarter amid easing inflation and strong consumer spending.

The Commerce Department’s Bureau of Economic Analysis released its advance estimate for third-quarter gross domestic product (GDP), which found the U.S. economy grew at an annual rate of 2.8% in the third quarter, which runs from July through September.

Economists surveyed by LSEG had expected the economy to grow at a 3% rate in the quarter. The report also finalized second-quarter growth at 3%.

Consumer spending, which accounts for about two-thirds of GDP, was up 3.7% in the third quarter and accelerated from 2.8% in the second quarter. 

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Business investment rose by 0.3% in the third quarter as private inventory investment slowed and residential fixed investment decreased more significantly.

The report showed that current-dollar personal income increased by $221.3 billion in the third quarter, a smaller rise than the $315.7 billion in the second quarter …