ARLINGTON, Va.—The U.S. economy grew an estimated 3.2% in the third quarter, the Commerce Department said in its final estimate.
Although the estimate was reduced, the growth pace was the fastest since the first quarter of 2015, said NAFCU Research Assistant Yun Cohen in a NAFCU Macro Data Flash report.
The department's Bureau of Economic Analysis released its final estimate last week.
Cohen attributed the downgraded estimate to consumer spending, which was slightly weaker than previously thought but remained solid overall.
"Corporate profits were also revised down, but growth was still stronger compared to earlier this year," Cohen said. "The only sizable drag came from residential investment as housing starts slowed during the quarter. Looking ahead, hurricane-related replacement purchases and rebuilding activities are expected to boost economic growth in the fourth quarter."
Heading into 2018, Cohen also expected tax reform, which was passed by Congress last week, to have a positive influence on growth.