NewsWPLG Local 10October 29, 2026Miami-Dade County
Commerce Department reports U.S. economy grew at 3.4% annual pace in third quarter
Photo: WPLG Local 10
The U.S. economy expanded at a 3.4% annual pace from July through September, accelerating from the second quarter due to robust consumer spending and increased business investment in artificial intelligence. The Commerce Department reported that this third-quarter gross domestic product growth surpassed the 2.2% rate registered from April through June.
Read the full story at WPLG Local 10Why It Matters
The broader economic acceleration affects national employment conditions, business revenues, and borrowing costs, driven heavily by a 3.8% rise in consumer spending and a 12.7% surge in non-housing .
Key Facts
- The U.S. economy grew at a healthy 3.4% annual pace from July through September.
- Third-quarter growth accelerated from the 2.2% rate registered in the second quarter.
- Consumer spending rose at a brisk 3.8% clip during the third quarter.
- Business investment excluding housing increased by 12.7%, bolstered by an artificial intelligence boom.
- Investment in information processing equipment surged 37.4%.
- Software investment rose 9.6% and research and development investment increased 7.5%.
- Housing investment fell 3.3% due to high mortgage rates, dropping for the sixth time in the last seven quarters.
- Economists surveyed by FactSet had expected third-party GDP growth of 3%.
- This report marks the first of three Commerce Department estimates for third-quarter GDP growth.