In Bullish Surprise, U.S. Reports 4.3% GDP Growth
The U.S. Commerce Department reported the economy at a much faster rate than anticipated on Tuesday. Real GDP grew at an annualized rate of 4.3 percent in the third quarter of 2025, the heftiest figure in two years. This growth represents a higher performance than the 3.2 percent annualized GDP growth rate anticipated by economists, and is an improvement on the 3.8 percent growth reported in the second quarter.
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Despite fears that President Donald Trump’s tariffs would have a depressive effect on spending, consumption rose 3.5 percent in the quarter. Trump took to Truth Social to attribute the economic success of the third quarter to his tariffs.
Despite these growth figures, consumer sentiment continues to fall, and as of December has done so for five months in a row, the longest it has done so since 2008.
