Thirdquarter GDP forecast to increase at a 3.0 rate
Consumer, business spending expected to add to GDP growth
Core PCE inflation seen rising at a slower 2.1 pace
Key report lands days before presidential election

WASHINGTON, Oct 30 Reuters The U.S. economy likely maintained a solid pace of growth in the third quarter as subsiding inflation and strong wage gains powered consumer spending ahead of a contentious presidential election set to turn on pocketbook issues.

The Commerce Department39;s advance estimate of thirdquarter gross domestic product on Wednesday will be published less than a week before Americans head to the polls on Nov. 5 to choose between Vice President Kamala Harris, the Democratic Party candidate, and former President Donald Trump. Polls show the race is a tossup.

Americans, who list the economy as a top election issue, have chafed at high food and housing costs, even as the economy has defied forecasts of a recession and continues to outperform its global peers.

Surveys of voters have consistently given the edge to Trump when asked who would be a better steward of the economy, including in the latest ReutersIPSOS poll out on Tuesday.

The economy has, however, stayed resilient despite 5.25 percentage points of interest rate increases in 2022 and 2023 from the Federal Reserve to tame inflation.

It looks like it39;s going to be a strong finish right before the election for the U.S. economy, said Christopher Rupkey, chief economist at FWDBONDS….