Economic recovery loses speed as consumers turn cautious

WASHINGTON (AP) -The recovery lost momentum in the second
quarter as growth slowed to a 2.4 percent pace, its most sluggish
showing in nearly a year and too weak to drive down unemployment.

Weaker spending by consumers, less growth coming from companies
restocking shrunken stockpiles and a bigger drag from the nation's
trade deficits were the main factors behind the second quarter's

The Commerce Department's report released Friday shows the
economy grew at a 3.7 percent pace in the first three months of
this year. That was much better than the 2.7 percent pace estimated
just a month ago. Even so, the recovery has been losing power now
for two straight quarters, raising concerns about whether it will

(Copyright 2010 by The Associated Press. All Rights Reserved.)

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