U.S. economy likely stayed strong in third quarter, data show

U.S. Economy Likely Remained Strong in Third Quarter, Data Suggest

Written by: Supriya Kadu

Edited by: Pinky Deshmukh

Last Updated: December 24, 2025

Summary: U.S. economic growth probably remained solid in Q3, driven by spending and job gains.

New data suggest the U.S. economy continued to grow at a healthy pace in the third quarter, with consumer spending and hiring staying firm even as inflation and interest-rate questions linger.

Economists surveyed ahead of official figures expected gross domestic product (GDP) to show another strong quarter of expansion. Much of that strength has come from Americans spending on services like travel, dining and healthcare, helping offset weaker activity in some goods-producing sectors.

Job growth has been another bright spot. Employers in the world’s largest economy have continued adding workers at a steady clip, which supports household incomes and keeps consumer demand elevated. Analysts say this kind of resilience has helped the broader economy stay on track even as global growth slows.

At the same time, inflation remains a key concern for policymakers. While inflation rates have slowed from the highs of recent years, many sectors continue to suffer expenses that exceed historical averages.

Markets have reacted to this mix of strong growth and persistent price pressures by staying cautious. Investors are trying to balance optimism about demand and job creation with uncertainty about how long inflation will take to truly settle.

The likely strong third-quarter growth figures will be released officially by the U.S. government soon. But even before that, analysts believe the resiliency of consumer spending and jobs portrays a picture of an American economy that has held up better than many predicted by late 2025.

Analysts believe that even before this, the strength of consumer spending and employment indicates that the American economy will do better than many thought by the end of 2025.