4th Quarter GDP Has Largest Economic Gain in Six Years
January 29, 2010 - In the fourth quarter of 2009, the U.S. economy grew at its fastest pace in six years. Rising a seasonally adjusted 5.7%, gross domestic product exceeded several median forecasts put out by economists.
About 75% of the growth came from inventories, with an increase in assembly lines and investment equipment.
The GDP, which is a broad survey that measures economic activity, only grew 2.2% during the third quarter. While there was solid growth in the second half of the year, the economy shrank a grand total of 2.4% in 2009.
There seems to be a more sustainable recovery as the country now moves into February. Additionally reported this week, January's consumer confidence reports showcased a new 16 month high, rising to 55.9 for the month.
Largely, both reports confirm a rehabilitating economy that's going to continue to be fueled by consumer spending and inventories, along with several other contributors.