GDP Grows at Record 33.1% in Q3, but Questions Remain About a Coronavirus Rebound.
After the extreme decline of 31.4% in gross domestic product (GDP) that the U.S. economy experienced in the second quarter, the bounce back produced the largest economic surge ever for the third quarter at 33.1%. Estimates had expected GDP of 32%, but this growth is largely caused by the pandemic, rather than traditional economic growth. When you shut down the economy, the reopening will be quite a big number.
Within the economic data, the biggest surprise was personal consumption, which increased by 40.7%, compared to estimates of 38.9%. The market reacted softly to the news, with the S&P 500 up just under 1% this morning.
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Source Fool.com
