Growth Down, Inflation Up

Obamanomics on parade.

WASHINGTON (MarketWatch) — The U.S. economy slowed markedly in the first quarter and inflation accelerated, clear evidence of the double whammy on the economy from higher gasoline prices.

In its first estimate Thursday, the Commerce Department said gross domestic product rose at a 1.8% annual rate between January and March, slower than the 3.1% pace in the prior three months.

Economists polled by MarketWatch had expected a slightly weaker 1.7% growth rate. They blamed the slowdown on weather disruptions and higher gasoline prices, as well as a drop in defense spending. See our economic calendar with forecasts of major indicators.

And this:Initial Jobless claims jump in latest week. Unexpectedly Rises to 429,000