Economic growth slows sharply; new jobless claims rise
LA Times | Apr 29
Many analysts shrugged off the report that gross domestic product grew just 1.8% in the first part of the year — down from 3.1% in the fourth quarter last year. Economists said the slowdown was caused mostly by temporary factors such as the harsh winter weather and a surge in oil and food prices, which took a bite out of consumer spending and the nation’s trade. Officials at the Federal Reserve as well as many private forecasters expect GDP growth to bounce back to 3% or higher in the rest of the year. But that depends partly on an easing of global economic and political problems, particularly the unrest in the Middle East and North Africa that is behind the spike in petroleum prices.