The US economy grew at a solid 3.2 per cent annual rate in the first three months of the year, a far better outcome than expected, overcoming a host of headwinds including global weakness, rising trade tensions and a partial government shutdown.
The advance in the gross domestic product, the broadest measure of economic health, marks an acceleration from a 2.2 per cent gain in the previous October-December period.
However, about half the gain reflected two factors not expected to last - a big jump stockpiling by businesses and a sharp contraction in the trade deficit.
Still, the GDP gain surpassed the three per cent bar set by President Donald Trump as evidence his economic program is working.
It was the strongest first quarter growth rate since 2015.
In recent years, GDP has been exceptionally weak in the first quarter. There had been fears growth could dip below one per cent this year due to a variety of adverse factors such as the December stock market nosedive, rising weakness in key economies overseas, the US trade war with China and a 35-day partial government shutdown that ended in January.
But the economy shrugged off those concerns, helped by an announcement in early January from the Federal Reserve that after raising rates four times last year, it was declaring a pause on further rate hikes.
Still, economists believe the current April-June quarter will not match the first quarter's performance. Many are looking for GDP growth to slow to around two per cent in the current quarter.
Consumer spending, which accounts for 70 per cent of economic activity, slowed to growth at a rate of just 1.2 per cent in the first quarter.
Government spending was up 2.4 per cent as a big 3.9 per cent gain in state and local spending, reflecting increases in highway construction, offset a flat performance for the federal government.
For the year, economists believe GDP will expand 2.4 per cent, down from last year's 2.9 per cent gain.
