GDP grows 3.5% in the third quarter

U.S. gross domestic product grew at a 3.5% annual rate in the third quarter, beating economists' expectations but slower than Q2's 4.2% pace, the Commerce Department said Friday.

Data: Bureau of Economic Analysis; Chart: Chris Canipe/Axios

The big picture: The economy is on track for its best performance since 2005.

  • Strong consumer spending and a pick-up in government spending were among the biggest contributors to GDP, while a downturn in exports took a bite out of growth.
  • For full-year GDP growth to come in above 3%, which would be a major win for President Trump, growth in the fourth quarter would need to hit 3.3%, according to Jason Furman, former Council of Economic Advisers Chairman in the Obama administration: