Shrugging off higher interest rates, America’s consumers spent enough to help drive the economy to a brisk 5.2 percent annual pace from July through September, the government reported Wednesday in an upgrade from its previous estimate.

US economic growth was even stronger in the third quarter than previously estimated, underscoring the economy’s remarkable resilience in the face of elevated inflation and high borrowing costs earlier this year.

The U.S. economy grew faster than initially thought in the third quarter as businesses built more warehouses and accumulated machinery equipment, but momentum appears to have since waned as higher borrowing costs curb hiring and spending.

Gross domestic product rose at an upwardly revised 5.2 per cent annualised pace in the third quarter, the fastest in almost two years. Consumer spending advanced at a less-robust 3.6 per cent rate, according to the government’s second estimate of the figures issued on Wednesday (Thursday AEDT).

Consumer spending advanced at a less-robust 3.6% rate, according to the government's second estimate of the figures issued Wednesday