The US economy grew at a 3.4 per cent annualised rate in the third quarter, accelerating from 2.2 per cent in the previous quarter and exceeding analysts’ 3.2 per cent forecast. Growth was led by domestic demand: consumer spending rose 3.8 per cent despite high prices, while private fixed investment climbed 9.4 per cent, its largest increase since the post-pandemic rebound. Companies’ race to build AI data centres and acquire advanced equipment drove much of that investment. Government spending also added to growth, partly through oil sales from the Strategic Petroleum Reserve intended to ease fuel costs.
Trade restrained the headline result as imports of technology equipment rose; imports count as a subtraction in GDP. The strong output figures point to an economy holding up even as the Iran war pushes up fuel and other prices. The Fed’s preferred inflation measure reached 3.6 per cent in September, well above its 2 per cent target, while lower-income households are particularly strained by the accumulated rise in living costs. Federal Reserve officials have kept interest rates steady while assessing the data, though the hotter-than-expected inflation reading has renewed questions about whether further rate increases may be needed. The figures arrive just before midterm elections, as Donald Trump presents economic strength as evidence his policies are working.
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Two high-speed trains collided near Wenzhou, China, on July 23, 2011, after a railway signal failure. The crash killed 40 people and injured more than 192, and four cars fell from a bridge into the Ou River. (en.wikipedia.org)
A study of 1,584 data centers found that openings were associated with an average of 1,000 to 1,300 new jobs in their counties. Although each facility employs only a few dozen people directly, local job growth was modest overall. (theconversation.com)
Several universities in Jiangsu are gradually shifting permanent staff salaries to digital yuan wallets, following pilots in other Chinese cities. Staff can transfer funds instantly and without fees to bank accounts, while eligible wallet balances earn interest and receive deposit insurance protection. (chinascope.org)
California High-Speed Rail Authority chief Ian Choudri resigned after a state report found the agency misused nearly $600,000 for consultant travel. The project remains years behind schedule, with only 119 miles of its planned 500-mile route under construction and costs far above estimates. (nytimes.com)
California’s Prop 40 would impose a one-time 5 percent tax on billionaires’ assets to fund healthcare, food assistance, and education. The fight over the measure highlights how billionaire spending can challenge voters’ power and democracy. (thenation.com)
Netanyahu’s Likud party claimed Israel’s election was stolen by foreign entities after Arab parties’ strong showing blocked his bloc from securing a majority, but offered no evidence. Israel’s election commissioner ordered the Shin Bet to investigate allegations of foreign funding, while Arab party leaders denied wrongdoing. (ft.com)
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