U.S. economic growth slows sharply in July-Sept. amid pandemic

© Kyodo News

The U.S. economy expanded an annualized 2.0 percent in real terms in the July to September quarter, marking a sharp slowdown amid the coronavirus pandemic resurgence due to the Delta variant, data by the Commerce Department showed Thursday.

The growth in terms of inflation-adjusted gross domestic product slowed from a 6.7 percent increase in the previous quarter and also fell short of the average market forecast of 2.7 percent growth.

According to the department, private consumption, which accounts for two-thirds of the world's largest economy, increased 1.6 percent, down from 12.0 percent in the preceding quarter.

Nonresidential private investment, a measure of business spending, gained 1.8 percent, compared with a rise of 9.2 percent.

Exports decreased 2.5 percent, a turnaround from an increase of 7.6 percent. Imports were up 6.1 percent, following a 7.1 percent rise the previous quarter.

GDP measures the total output of goods and services within a country's borders.