US economy accelerated to a strong 4.9% rate last quarter as consumers shrugged off Fed rate hikes

Customers shop at a Target store in Chicago. (Scott Olson/Getty Images)

WASHINGTON — The nation’s economy expanded at a robust 4.9% annual rate from July through September as Americans defied higher prices, rising interest rates and widespread forecasts of a recession to spend at a brisk pace.

The Commerce Department said the economy expanded last quarter at the fastest pace in nearly two years — and more than twice the 2.1% annual rate of the previous quarter.