US economy contracted in first quarter of 2015

The US Department of Commerce has announced that the economy contracted in the first three months of 2015 because of harsh winter weather.

The department said on Wednesday that the economy shrank at a seasonally adjusted annual rate of 0.2 percent from January through March, the Associated Press reported.

Spending decreased due to weather conditions and consumers were kept away from shopping malls and auto dealerships.

Meanwhile, exports fell 5.9 percent and imports increased 7.1 percent in the first quarter.

Consumer spending growth also slipped to 2.1 percent, which is down from 4.4 percent in the final three months of 2014.

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