# U.S. GDP Grows at a 3.4% Annualized Pace as September Inflation Hits 3.6%

By Enna Lee

Canonical URL: https://www.tokenpost.com/news/investing/43643
Published: 2026-10-29T15:41:09.000Z
Updated: 2026-10-29T15:41:09.000Z
Section: Investing

> Core PCE inflation reached 3.1% annually. GDP growth exceeded a 3.1% estimate and the 2.2% pace recorded in the second quarter.

U.S. economic growth accelerated to a 3.4% annualized pace in the third quarter while September inflation remained elevated, giving crypto and other risk-asset traders fresh data as they assess the Federal Reserve’s rate outlook.

The growth rate topped a 3.1% estimate and followed a 2.2% pace in the second quarter. Consumer spending increased 3.8% during the third quarter, while private domestic investment rose 19.4%, including a 20.9% jump in equipment spending.

The personal consumption expenditures price index rose 0.5% in September, putting its annual rate at 3.6%. Core PCE, which excludes food and energy, increased 0.3% for the month and 3.1% annually. Both measures remained above the Fed’s 2% inflation target.

September consumer spending rose 0.5%, while personal income increased 0.2%. The Fed held its benchmark interest rate in a range of 3.75% to 4% on Wednesday, leaving the latest growth and inflation readings in focus as officials weigh incoming economic data.