The US economy grew at a 3.3% annual pace from October through December, indicating continued resilience despite high interest rates and price levels.

The Commerce Department report showed the GDP's total output of goods and services decelerated from its 4.9% growth rate the previous quarter.

The state of the economy is expected to influence voters' decisions ahead of the November elections.

 The Federal Reserve is expected to deliver a soft landing raising borrowing rates to cool growth, hiring, and inflation without sending the economy into a tailspin.

Despite slowed inflation, overall prices remain nearly 17% above where they were before the pandemic erupted three years ago.

 The Federal Reserve began raising its benchmark rate in March 2022 in response to the resurgence in inflation that accompanied the economy's recovery from the pandemic recession.

The progress has come at surprisingly little economic cost, with employers adding a healthy 225,000 jobs a month over the past year and unemployment remaining below 4% for 23 straight months.

The economy's sturdiness is due to the good financial shape of consumers, who emerged from the pandemic in surprisingly good financial shape.

Some economists suggest that the economy will weaken in the coming months as pandemic savings are exhausted, credit card use nears its limits, and higher borrowing rates curtail spending.