US third-quarter growth revised

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US third-quarter growth revised

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It seems US economic growth was a touch stronger than previously estimated in the third quarter.

Gross domestic product expanded at an annual rate of 2.6 percent, revised from the earlier 2.5 percent estimate.

But consumer spending was softer and more of the goods produced ended up on warehouse shelves as inventories were bigger than had earlier been calculated.

The upward revision of GDP growth was not as much as economists had predicted.

They were looking for a 2.8 percent pace, however they remain optimistic that US growth has accelerated in the final months of the year.

At the same time figures were released showing sales of previously owned homes in the US rose less than expected in November – up 5.6 percent from the same month last year.

That suggests the housing sector is still struggling to gain traction.

And mortgage applications by Americans tumbled to their lowest level in nearly a year as interest rates continue to rise for purchasers.