The US economy grew at an annual rate of 4.3% in the three months to September. This is the fastest growth in two years and beats the previous quarter's 3.8% growth. Consumer spending rose 3.5% annually, up from 2.5%, with people spending more on health care. Exports surged 7.4%, recovering from a previous drop. Imports kept declining because of taxes on shipments introduced by President Donald Trump. Government spending also climbed, mainly due to increased defense costs. However, business investments slowed and the housing market struggled due to high interest rates. Despite inflation, the core economy shows solid momentum. Aditya Bhave, Bank of America senior economist, said to BBC, "This is an economy that has defied doom and gloom expectations basically since the beginning of 2022" and called it "very very resilient." Analysts expect strong growth to continue as tax cuts and recent Federal Reserve rate cuts take effect. Still, some experts warn inflation is hitting lower and middle income families hard, slowing spending. The Fed's preferred inflation measure rose to 2.8% from 2.1% last quarter. Oliver Allen of Pantheon Macroeconomics noted signs that households are starting to limit spending due to a weak job market and stagnant incomes.