The U.S. economy rebounded in the third quarter after contracting for the first six months of this year, giving fuel to the view that the world’s largest economy may not be in a recession. However, mounting signs of economic weakness suggest it may well dive again into negative territory.
The economy expanded at a 2.6 percent annualized pace between July and September, according to government data released on Oct. 27. That’s slightly higher than a consensus forecast of 2.4 percent.
The rebound in gross domestic product (GDP) represents a sharp reversal from the 1.6 percent decline in the first quarter and a 0.6 percent drop in the second, which met the technical definition of a recession, sparking fierce debate about whether the economy was, in fact, in recession….