NEW YORK (
) -- The latest estimate on U.S. economic growth for the third quarter disappointed economists.
The U.S. economy grew at 2% in the third quarter, according to the Bureau of Economic Analysis' second estimate on gross domestic product growth. According to Thomson One Analytics, economists expected the rate to remain at the 2.5% level from the first estimate.
Growth picked up from the second quarter which saw GDP rise by 1.3%.
While foreign trade numbers were better than expected in September, wholesale inventory-building will see a sharp downward revision so GDP growth will likely get cut from the first estimate, noted Ian Sheperdson, economist with High Frequency Economics, before the release of the report. Sheperdson had predicted 2.3% in GDP growth.
"That cannot be sustained in an economy where business sales are still rising strongly and we expect a rebound in inventory-building to make a substantial positive contribution to fourth quarter growth," he wrote in a research note.
The government's report also gave a look into corporate profits. Profits from current production rose $39.8 billion in the third quarter, down from an increase of $61.2 billion in the second quarter.
Futures fell after the GDP report. Dow futures were off 39 points, S&P 500 futures were down 4 points and Nasdaq futures were down 13 points.
-- Written by Chao Deng in New York.
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