US economy expanded at sluggish 0.7% in fourth quarter, government says, downgrading first estimate

The U.S. economy, hobbled by last fall’s 43-day government shutdown, advanced at a sluggish 0.7% annual rate from October through December, the Commerce Department reported Friday in a big downgrade of its initial estimate

March 13, 2026Updated: March 13, 2026

By PAUL WISEMAN