Investors got some disappointing news about the economic rebound Thursday when the U.S. Commerce Department reported third-quarter GDP growth that fell short of economist expectations. What Happened? U.S. GDP grew just 2% in the third quarter, short of economist estimates of 2.8 percent. Third-quarter growth represented the slowest rate since the pandemic recovery began. Why It’s Important The third-quarter headline number may seem discouragingly low, but it gives investors a clearer picture of just how much of an impact supply chain disruptions, labor shortages, and the delta variant of COVID-19 had on the economy in the third quarter. Consumer spending in the quarter was up just 1.6 percent from a year ago after gaining 12 percent in the second quarter. Spending on goods dropped 9.2 percent in the quarter, but services spending grew 7.9 percent. The U.S. trade deficit also widened to a near-record $73.3 billion, weighing on growth. The …
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