US Economy Grew at 3.4% Annual Rate in Third Quarter 2026
Real GDP accelerated sharply from 2.2% in Q2, driven by gains in investment, consumer spending, and government outlays.
The U.S. economy expanded at an annual rate of 3.4 percent in the third quarter of 2026, the Bureau of Economic Analysis reported Thursday in its advance estimate, marking a significant pickup from the 2.2 percent growth recorded in the prior quarter.
Three broad categories drove the acceleration: business and residential investment, consumer spending, and government expenditures at the federal, state, and local levels. The combined strength of those components more than compensated for headwinds elsewhere in the accounts.
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Exports declined during the July-through-September period, acting as a partial drag on overall output. Imports also rose, which mechanically reduces the GDP calculation because foreign-sourced goods and services represent spending that does not reflect domestic production.
The advance estimate is the first of three successive readings BEA will publish on third-quarter output. Subsequent revisions — scheduled releases include the second and third estimates — typically incorporate broader survey data and can move the headline figure in either direction. Analysts and policymakers generally treat the advance print as a directional signal rather than a final accounting.
Continue reading at U.S. Bureau of Economic Analysis.
