US economy grew 2.8% in the third quarter, slower than expected

The U.S. economy grew slightly slower than expected in the third-quarter amid easing inflation and strong consumer spending.

The Commerce Department's Bureau of Economic Analysis released its advance estimate for third-quarter gross domestic product (GDP), which found the U.S. economy grew at an annual rate of 2.8% in the third-quarter, which runs from July through September.

Economists surveyed by LSEG had expected the economy to grow at a 3% rate in the quarter. The report also finalized second-quarter growth at 3%.

Consumer spending, which accounts for about two-thirds of GDP, was up 3.7% in the third-quarter and accelerated from 2.8% in the second-quarter. 

Business investment rose by 0.3% in the third-quarter as private inventory investment slowed and residential fixed investment decreased more significantly.