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GDP Slows

9:56 AM MDT | June 20, 2007 | Arnold Pearlman

The economy grew an annualized 0.6% in the first quarter, according to the most recent estimates, far below initial growth estimates, analysts say. The primary reason for the new, lower estimate of GDP is a “substantial revision” in the movement of inventories, they say. In the first calculation, inventories were estimated to have gained slightly, however, the latest calculation shows that inventories fell. Final sales advanced a relatively weak 1.6%. Consumer spending and business investment outlays were somewhat stronger, while housing was modestly...

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