US economy expands at slowest pace in 3 years

WASHINGTON: The US economy expanded at the slowest pace in three years as weak auto sales and lower home heating bills dragged down consumer spending, offsetting a pick-up in investment led by housing and oil drilling. Gross domestic product rose at a 0.7% annualised rate after advancing 2.1% in the prior quarter, Commerce Department data showed on Friday. Consumer spending, the biggest part of the economy, rose 0.3%, the worst performance since 2009. The GDP slowdown owes partly to transitory forces such as warm weather and volatility in inventories.