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GDP Grew Just 0.7 Percent In First Quarter Of 2017

The U.S. economy grew by only 0.7 percent in a initial entertain of this year. Weak automobile sales were one cause boring down consumer spending. (Above) Chevrolet pickup trucks during a dealership in Delmont, Pa., in February.

Gene J. Puskar/AP


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Gene J. Puskar/AP

The U.S. economy grew by only 0.7 percent in a initial entertain of this year. Weak automobile sales were one cause boring down consumer spending. (Above) Chevrolet pickup trucks during a dealership in Delmont, Pa., in February.

Gene J. Puskar/AP

The U.S. economy grew during only a 0.7 percent annual rate in a initial entertain of this year, according to a latest news on a sum domestic product from a Commerce Department. That’s next marketplace expectations and indicates a economy grew during a slowest gait in 3 years.

Weak automobile sales and reduce home-heating bills dragged down consumer spending, offsetting a pickup in investment led by housing and oil drilling. Employment costs rose 0.8 percent in a initial quarter.

This “advance” guess showed a U.S. economy with a slowest expansion given a initial entertain of 2014. The GDP expansion for a fourth entertain of 2016 was 2.1 percent.

The cost index for sum domestic purchases, that measures a prices paid for products and services purchased by consumers, increasing 2.6 percent in a initial quarter. That’s compared with an boost of 2 percent in a fourth entertain of 2016.