US Economy Fails to Meet Expectations

The US Commerce Department said today that the economy grew at an annual rate of 2.8 percent in the final quarter of 2010. The news was somewhat disappointing as projections called for 3.2 percent growth.

“The economy underperformed expectations in the fourth quarter,” said Ryan Sweet, a senior economist at Moody’s Analytics Inc. in West Chester, Pennsylvania. Still, “if you factor in the rising gas prices, the economy is performing well. Consumers are taking the rise in gasoline prices in stride” so far, he said.

Source: Bloomberg

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