Off the wire
• Police rescue kidnapped Chinese student in Myanmar  • China's import tax cut to reduce revenue, aid consumption  • Japan, EU eye to boost trade, anti-terrorism cooperation  • Irish naval vessel rescues further 300 migrants off Libyan coast  • Urgent: U.S. economy contracts 0.7 pct in Q1  • Heavy downpours affect 200,000 in east China  • Roundup: KSE ends week, month on bullish note  • Feature: China supports easy access to healthcare in Ghanaian community  • Roundup: Singapore stocks end down 0.75 pct  • Whistle-blower faces online backlash following freeloading controversy  
You are here: 　 Home

1st LD: U.S. economy contracts in Q1 on bad weather

Xinhua, May 29, 2015 Adjust font size:

The U.S. economy shrank at an annual rate of 0.7 percent in the first quarter of 2015, marking the third quarterly contraction after the financial crisis ended in mid-2009, according to the second estimate from the U.S. Commerce Department released Friday.

The Commerce Department estimated last month that the economy expanded 0.2 percent in the first quarter. The bitterly cold winter weather is blamed to pummel personal consumption and private inventory investment, dragging down growth to the negative territory.

Personal consumption increased 1.8 percent in the first quarter, compared with an increase of 4.4 percent in the fourth quarter of 2014. Nonresidential fixed investment decreased 2.8 percent, in contrast to an increase of 4.7 percent in the previous quarter. Exports dived 7.6 percent, compared with an increase of 4.5 percent in the fourth quarter. Endi