The U.S. economy slowed to a moderate 2.3 per cent annual growth rate in the first quarter as consumer spending turned in the weakest performance in nearly five years. Many economists had forecast that growth would slip below two per cent in the first quarter, reflecting a big pullback by consumers after a torrid pace of spending in the fourth quarter. Recent history has shown a pattern of weakness in the first quarter, reflecting in part seasonal data quirks. Analysts expect growth to surpass three per cent in the current quarter. Consumer spending, which accounts for 70 per cent of economic activity, decelerated sharply from a four per cent growth rate in the fourth quarter to a 1.1 per cent pace in the first quarter.

Source: CBC News April 27, 2018 15:33 UTC