First-Quarter GDP Expansion Lowered to 2.7%

The gross domestic product growth rate for the first quarter was revised down for a second time Friday, to an rate of 2.7%, the Commerce Department said Friday.

The third and final GDP reading followed earlier reports of 3.2% released two months ago and 3% last month, Commerce said.

 The increase followed a 3.6% annual-rate increase in GDP in the fourth quarter.

The GDP gain was below economists’ forecasts of a 3% increase, Bloomberg reported.

Consumer spending, which accounts for about 70% of the economy, rose at a 3% pace, down from last month’s 3.5% estimate.