U.S. economy slows in fourth quarter, but consumers resilient

GDP grew at 2.3% annualized rate to close 2024

20250130N U.S. shoppers

Year-end imports were quickly snapped up by consumers who engaged in pre-emptive buying ahead of expected tariffs. © Reuters

WASHINGTON (Reuters) -- U.S. economic growth slowed in the fourth quarter, but robust domestic demand will probably keep the Federal Reserve on a slow interest rate cut path this year.

Gross domestic product increased at a 2.3% annualized rate last quarter after accelerating at a 3.1% pace in the July-September quarter, the Commerce Department's Bureau of Economic Analysis said in its advance GDP estimate on Thursday.

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