US Economy Grows 2.1%

The US economy recorded moderate growth in the last quarter of 2019. According to the data of the Ministry of Commerce, the growth of the US economy in the fourth quarter remained at 2.1%. The expectation was that growth was 2.1%. Consumer spending, the main engine of the economy, was revised in the fourth quarter from 1.8% to 1.7%. Spending had increased by 3.2% in the previous quarter. PCE deflator decreased from 1.6% to 1.3%. For the whole of 2019, its growth remained unrefined at 2.3%, making it the slowest growth in 3 years. The drop in business investments, previously announced as 1.5% for the fourth quarter, was revised to 2.3%. Thus, investments continued to decline in the 3rd month and recorded the biggest decrease since 2015. Today's data pointed out that the long-standing growth in the United States was more fragile than previously thought and could remain below the 3% target of US President Donald Trump. It is stated that the coronavirus, which caused the deaths of tens of people worldwide, could hinder the economic growth that has been going on for 11 years.