U.S. economy grew at slowest pace in nearly two years in first quarter

The U.S. economy grew at its slowest pace in nearly two years in the first quarter amid some moderation in consumer spending and a wider trade deficit, but an acceleration in inflation reinforced expectations that the Federal Reserve would not cut interest rates before September. The cooler-than-expected growth reported by the Commerce Department in its snapshot of first-quarter gross domestic product on Thursday also reflected a slower pace of inventory accumulation by businesses and a downshift in government spending. Still, …