Facts
- The U.S. economy grew at a 3.4% annual rate from July through September, the Commerce Department reported on Thursday, October 29, 2026, according to the Associated Press.
- That is faster than the 2.2% pace of the April-June quarter. Economists surveyed by FactSet had expected 3% growth, the AP reported.
- Consumer spending rose 3.8% in the third quarter, according to the report as described by the AP.
- Business investment, excluding housing, rose 12.7%. Spending on information processing equipment jumped 37.4%, software rose 9.6% and research and development rose 7.5%. The AP tied the increase to the boom in artificial intelligence.
- Housing investment fell 3.3%, held back by high mortgage rates. It has declined in six of the last seven quarters, the AP reported.
- The AP said the economy has proven resilient despite higher energy prices tied to fighting with Iran.
- This is the first of three Commerce Department estimates for the quarter, so the figure can be revised.
- These figures are as described by the AP; the Commerce Department’s own release was not available for this report.
Source Read the Associated Press report on PBS NewsHour here.
Image Commerce Building aerial view from 14th Street, public domain.
