(Kitco News) - The U.S. economy continues to show resilient strength as activity remained steady in the third quarter.
In its second reading of third-quarter GDP, the Bureau of Economic Analysis said the economy grew 2.8% between July and September, unchanged from the first print.
Economic growth remains down slightly from the 3% reported in the second quarter.
“The update primarily reflected upward revisions to private inventory investment and nonresidential fixed investment as well as downward revisions to exports and consumer spending. Imports, which are a subtraction in the calculation of GDP, were revised down,” the report said. “Compared to the second quarter, the deceleration in real GDP in the third quarter primarily reflected a downturn in private inventory investment and a larger decrease in residential fixed investment.”
The gold market is not reacting much to the latest economic data, as prices see a solid recovery from significant selling pressure at the start of the week. December gold futures last traded at $2,651.50 an ounce, up more than 1% on the day.
Economists note that consumer spending continues to support the U.S. economy. The report noted that consumer spending rose 3.5% in the third quarter, down slightly from the initial estimate of 3.7%.
“The changes in this revision are immaterial. It's a healthy economy that's being led by consumption,” said Adam Button, Chief Currency Strategist at Forexlive.com.
Along with relatively stable growth, the report also noted that inflation was relatively stable through the third quarter. The core Price Index, which strips out volatile food and energy costs rose 2.1%, down from the initial estimate of 2.2%. The headline Price Index was unchanged at 1.5%.
