Tuesday 30 April 2019

US economic growth stronger than expected despite weak demand

Stockpiling by businesses helps provide growth of 3.2% in first quarter of 2019

US economic growth surged in the first three months of the year to 3.2% as the threat of a trade war with China forced businesses to stockpile at the fastest rate since 2015.

Figures from the Department of Commerce showed that a jump in hoarding raw materials and finished goods and an increase in government investment overcame weak consumer spending, a drop in housebuilding and low business investment to send GDP growth well ahead of the 2.2% in the last quarter of 2018.

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from US news | The Guardian http://bit.ly/2GMRRMd

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