Washington, Nov 29 (Prensa Latina) The US Commerce Department announced a growth of 4.9 percent in the third quarter of 2007, clouded by the real estate crisis threatening to expand into 2008.
Despite the positive increase of exports due to the fall of the dollar before the euro and other world currencies and limited domestic consumer activity, the increase was not considered a sign of economic recovery, but the report said a slight improvement was noticed.
A Global Insight Institute study revealed that the US Gross Domestic Product will be reduced 1.9 percent in 2007.
US real estate will suffer a total loss of 1.2 trillion dollars and is predicted to remain weak in 2008, since builders are trying to prune house listings because of houses that cannot be sold and growth of mortgage rates in a saturated market.