U.S. Economy

(CN) - The U.S. economy expanded at a faster rate than originally expected during the first quarter; however, consumption grew at its slowest pace in two years, the government announced Tuesday.

The U.S. Commerce Department said the economy grew at an annualized rate of 1.1 percent in the first three months of 2016, up from a projected 0.8 percent.

Meanwhile, the department said, personal consumption growth was just 1.5 percent, revised down from an expected 1.9 percent the slowed pace in two years.

Personal consumption is considered a key indicator of the nation's economic well-being because it makes up the bulk of U.S. gross domestic product.

In other economic news, while housing prices remain robust overall, the rate of price growth eased in April, according to the S&P/Case-Shiller report, a leading measures of U.S. residential real estate prices.

Housing prices in 20 major U.S. metropolitan areas rose at a year-on-year rate of 5.4 percent in April, down from 5.5 percent in March, the report said.

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