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The United States says its economy expanded quickly from April to June. The U.S. economy grew at a yearly rate of four percent. That is much better than the first three months of 2014. During that period, the value of the goods and services produced by the country shrank at a rate of more than two percent. Experts say increased consumer and business spending for the economic led to the growth. The expansion appeared to extend across the economy. U.S. exports increased sharply, businesses bought goods for resale, and state and local governments increased spending. President Barack Obama spoke to supporters in Kansas City in late July. He said the recent economic numbers were another sign that things are getting better. The economic news had little effect on financial markets. Investors appeared unmoved because this was just the first of several reports for the period from April to June. Economist Sean Snaith is with Central Florida’s Institute for Economic Competitiveness. He says it is too early to celebrate the economic gains. Sean Snaith says what happens in the final six months of 2014 will show whether the recovery will continue. He said the bank risks fueling inflation if it raises interest rates too quickly. The central bank, the Federal Reserve System, changed its opinion of the economy recently. The Federal Open Market Committee makes important decisions concerning financial policy. The committee said it plans to reduce bond buying by another $10 billion in August. The bond buying program has kept U.S. interest rates near record low levels.
