According to a new report from the U.S. Department of Commerce Thursday morning, the GDP grew at an annualized rate of 33.1% in the third quarter, beating estimates.
The GDP has now recovered two-thirds of what was initially lost in the recession caused by the Chinese coronavirus, which resulted in a 31.4 percent decline in GDP in the second quarter.
Q3 growth came amid a resurgence in consumer activity, which comprises 70% of GDP. Though most of the country remained in a cautious reopening, shoppers began returning to stores and the bar and restaurant industry entered the first tepid phase of resuming business despite restrictions on capacity.
Personal consumption increased 40.7%, while gross private domestic investment surged 83% amid a 59.3% increase on the residential side.
Economic activity was strong in the real estate sector, and consumer and business executive surveys showed that confidence has remained high about the future despite the virus-related setbacks. Read more…