Revised US economic growth figures better than expected

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Revised US economic growth figures better than expected

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US economic growth was much stronger in the third quarter than had been orginally estimated.

The latest revised figures from the Commerce Department in Washington show that consumers and businesses spent more than had been previously thought though corporate profits fell because of the effect of hurricanes.

US gross domestic product jumped by an annual rate of 4.3% between July and September.

That is a major pick up from the 3.3% annual growth in the second quarter and put the US on track to exceed the latest OECD forecast for full year growth.

In the third quarter the US economy grew at its fastest pace since the first three months of last year, reinforcing the view that it is on a solid footing.

By contrast the latest data from the EU statistics office, based on European Commission surveys, shows that business confidence in the euro zone weakened in November and consumer sentiment remained unchanged at low levels.

The statisticians also reported inflation easing.

That came one day before the European Central Bank was set to raise interest rates in a move that finance minister fear could threaten the region’s fragile economic recovery.