The U.S. economy grew at its fastest pace in two years during the third quarter of 2025, with GDP expanding at an inflation-adjusted annualized rate of 4.3%—far exceeding economists' expectations of around 3.2–3.3%.
Consumer spending accelerated sharply, exports surged, and even grocery prices for key items like eggs, chicken, and tomatoes eased, providing some relief to households.
Even CNN can't ignore President Trump's “much stronger than expected” economy, reporting: "In the third quarter, GDP grew at the fastest rate in two years. Americans are also seeing some prices ease at the grocery store: the cost of eggs, chicken and tomatoes are all down..." pic.twitter.com/PLet31OQRs
— TV News Now (@TVNewsNow) December 23, 2025
The Commerce Department data, released in late December 2025, showed growth outpacing the second quarter's 3.8% rate and marking the strongest quarterly gain since late 2023.
While wealthier Americans continued driving spending, lower- and middle-income consumers remained more cautious amid mixed signals, including a sharp drop in consumer confidence to its lowest level since April.
The strong numbers stood in contrast to potential headwinds, such as the recent government shutdown and policy uncertainties. Overall food inflation remained modest at about 2.6% year-over-year, with specific categories like eggs seeing significant price drops from earlier peaks due to resolved supply issues.