You choose, we deliver
If you are interested in this story, you might be interested in others from The Journal Gazette. Go to www.journalgazette.net/newsletter and pick the subjects you care most about. We'll deliver your customized daily news report at 3 a.m. Fort Wayne time, right to your email.

Business

  • New-homesales slowto a trickle
    WASHINGTON – U.S. sales of new homes were nearly flat in September, after the government sharply revised downward what was initially an August surge in buying.New-home sales edged up 0.
  • Stocks see best week in 2 years
    NEW YORK – The stock market closed out its best week in nearly two years on a positive note Friday, helped by strong quarterly earnings from Microsoft and other big U.S. companies.
  • Ford quarterly profit falls
    DEARBORN, Mich. – Ford’s new aluminum-sided F-150 will be a lot lighter and more efficient when it goes on sale this year. But for now, it’s a serious drag on profits.
Advertisement

Economy likely to begin rebound after weak 1st quarter

– Expect a dreary report today when the government issues its first estimate of how fast the U.S. economy grew in the January-March quarter.

Bitter cold kept consumers and businesses in hibernation for much of the winter, likely slowing growth to a scant annual pace of 1.1 percent.

Yet thanks to a bounce-back in consumer spending, business investment and job growth, analysts foresee a strengthening economy through the rest of the year.

In fact, many say 2014 will be the year the recovery from the last recession finally achieves the robust growth that’s needed to accelerate hiring and reduce still-high unemployment.

Most analysts think annual economic growth has rebounded to about 3 percent in the current April-June quarter and will remain roughly at that pace through the second half of the year.

If that proves accurate, the economy will have produced the fastest annual expansion in the gross domestic product, the broadest gauge of the economy’s health, in nine years. The last time growth was so strong was in 2005, when GDP grew 3.4 percent, two years before the nation fell into the worst recession since the 1930s.

A group of economists surveyed this month said they expect unemployment to fall to 6.2 percent by the end of this year from 6.7 percent in March.

Advertisement