Here's the Breakdown for the US Q3 GDP, in One Chart

The U.S. economy grew even faster than expected in the third quarter. GDP rose at a 4.9% annualized pace in the July-through-September period, up from an unrevised 2.1% pace in the second quarter. Economists surveyed by Dow Jones had been looking for a 4.7% acceleration.

The sharp increase came due to contributions from consumer spending, increased inventories, exports, and government spending.

Personal consumption expenditures rose by 4% for the quarter after a modest growth of 0.8% in Q2. Consumer spending on goods and services saw similar growth rates, with a rise of 4.8% and 3.6%, respectively.

Gross private domestic investment also surged by 8.4%, while government spending and investment jumped by 4.6%.

Although the report could encourage the Federal Reserve to maintain tight policies, traders are still not expecting an interest rate hike during the next central bank meeting next week, according to CME Group data.