US GDP surges to 4.3% in third quarter

 December 24, 2025

Buckle up, patriots -- America’s economic engine is roaring louder than a Detroit muscle car, with third-quarter growth hitting a surprising 4.3% annual rate.

The Trump Commerce Department dropped this bombshell on Tuesday, revealing that the U.S. gross domestic product (GDP) climbed from a solid 3.8% in the second quarter to an even stronger 4.3% between July and September, as Newsmax reports.

Analysts polled by FactSet were caught flat-footed, having predicted a more modest 3% uptick. Clearly, the American economy isn’t waiting around for permission to thrive, despite the naysayers who’ve been wringing their hands over every data point.

Consumer Spending Fuels Economic Boom

Now, let’s talk about the real horsepower here: consumer spending, which accounts for roughly 70% of economic activity, revved up to a 3.5% annual pace, a big jump from 2.5% in the prior quarter.

Americans are out there buying, building, and boosting businesses, showing the kind of grit and optimism that progressive doomsayers can’t seem to grasp. It’s not about reckless splurging; it’s about confidence in a system that still rewards hard work.

Exports and government spending also chipped in, proving that when policies prioritize growth over endless red tape, results follow.

Inflation Still a Stubborn Problem

But before we start waving the victory flag, there’s a fly in the ointment -- inflation isn’t playing nice.

The Federal Reserve’s go-to measure, the personal consumption expenditures (PCE) index, ticked up to a 2.8% annual pace last quarter, a notable rise from 2.1% in the April-to-June stretch.

Even when you strip out volatile food and energy costs, core PCE inflation climbed to 2.9%, up from 2.6% in the prior period, signaling that price pressures aren’t bowing to the Fed’s wishes just yet.

Federal Reserve Faces Tough Choices

This stubborn inflation, well above the Fed’s target, casts a shadow over the otherwise sunny economic report.

It’s a reminder that while growth is great, unchecked price hikes hit working families hardest -- those who don’t have the luxury of ignoring grocery bills or gas pumps. Washington’s obsession with flashy spending packages often overlooks this bread-and-butter reality.

Some might argue the Fed should just keep raising rates to tame inflation, but that risks slamming the brakes on this hard-won momentum.

Balancing Growth and Price Stability

Here’s the tightrope: robust growth at 4.3% shows the economy can still surprise on the upside, even as the experts underestimate American resilience.

Yet, with inflation creeping higher, policymakers can’t afford to get cozy and ignore the warning signs. The last thing we need is a return to the stagflation nightmares of decades past, a trap that overzealous government meddling could easily spring.

So, let’s celebrate this economic win, but with eyes wide open -- America’s working class deserves growth that lasts, not just a fleeting sugar high before prices swallow their gains.

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