US Economic Growth Surges to 2% Annual Rate in Latest Quarter
The US economy grew at a revised annual rate of 2% in the first quarter, according to the Commerce Department. This figure was significantly higher than the previous estimate of 1.3% and showed resilience despite higher interest rates. Consumer spending, which accounts for about 70% of the economy, increased at the fastest pace in nearly two years. The economy has been impacted by the Federal Reserve's efforts to control inflation through interest rate hikes, but consumers continue to spend despite rising borrowing costs. The economy is expected to slow further in the current quarter but still maintain growth.