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US economy grew by 3.3% in fourth quarter

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US gross domestic product grew at an annualised rate of 3.3 per cent during the final quarter of last year, capping off a stronger-than-anticipated 2023 for the world’s largest economy.

While the fourth-quarter rate was slower than the 4.9 per cent expansion recorded in the preceding three month period, it still means the US economy beat expectations for a year when output was expected to stagnate.

The figure was substantially higher than economists’ estimates. On average, they were forecasting an expansion of 2 per cent, according to a Refinitiv poll.

The first estimate, published by the Bureau for Economic Analysis on Thursday, indicates the US economy is on track for a soft landing, with inflation tamed without triggering a recession.

This is a developing story