The US economy is likely to grow at its fastest pace in nearly two years in the third quarter, ignoring dire warnings of a recession, as higher wages from a tight labor market helped to power consumer spending.
US GDP rose at a 4.9% annualized pace in the third quarter, up from an unrevised 2.1% pace in the second quarter, the Commerce Department reported Thursday. Economists surveyed had been looking for a 4.3% acceleration.