The U.S. economy likely stumbled at the start of this year, but there’s probably little reason to worry: Economists foresee a solid rebound with the end of a harsh winter.
The Commerce Department on Wednesday will issue the first of three estimates of how fast the economy grew in the January-March quarter. The expectation is that growth slowed to an annual rate of around 1.1 percent, a lackluster pace that would be sharply down from a 2.6 percent annual growth rate in the previous quarter.
Economists think the first-quarter slump, caused in large part by the severe winter, will give way to stronger growth that should endure through the rest of the year. Most analysts say a bounce-back in consumer spending, business investment and job growth will lift growth in the second quarter.
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