The economy sprang out of a year-end rut and zipped ahead in the opening quarter of this year at a 5.6 percent pace, the fastest in 2 1/2 years and even stronger than previously thought. The new snapshot of gross domestic product for the January-to-March period exceeded the 5.3 percent growth rate estimated a month ago, the Associated Press reports citing the Commerce Department. The upgraded reading – based on more complete information – matched economists’ forecasts.
Economists predict that economic growth in the April-to-June quarter probably slowed to a pace of around 2.5 percent to 3 percent. High energy prices and a more moderate housing market will play roles in the expected slowdown in overall economic activity.
