US economic growth slows sharply in third quarter of 2021
The US Department of Commerce notes that the US's economic growth slowed sharply in the third quarter of the year amid a surge of Covid infections.
The US government confirmed on Wednesday that the growth the US economy was experiencing showed a sharp decline in the third quarter of the year, amid increased Covid infections.
Economists had expected the pace of GDP growth for the third quarter to remain unchanged at 2.1 %. The US economy grew by 6.7% in the second quarter of 2021.
With the introduction of the omicron variant, as well as rising inflation and supply chain shortages, economic growth may be further curtailed in 2022.
These concerns have thrown the stock market into a tailspin in recent days, while all major US markets rebounded this week, but remain in the negative over the last month.
And it's not only the comeback of COVID that might hinder the economy next year. Inflation has reached its highest level in almost four decades, causing the Federal Reserve to begin withdrawing large sums of assistance from the economy as it shifts from attempting to encourage job growth to battle inflation.