US economic growth revised down
The US economy grew at a much slower pace this spring than previously estimated, mostly due to the largest surge in imports in 26 years and a slower build-up in inventories.
The Commerce Department said the country's gross domestic product - the broadest measure of the economy's output - grew at a 1.6pc annual rate in the April-to-June period - down from an initial estimate of 2.4pc last month and much slower than the first quarter's 3.7pc pace.
Many economists had expected a sharper drop.
The economy has grown for four straight quarters, but that growth has averaged only 2.9pc, a weak pace after such a steep recession.
The economy needs to grow at about 3pc just to keep the unemployment rate, currently at 9.5pc, from rising.