US economy grows 2.6 pc in April-June Qtr
Washington: The US economy grew at a 2.6 per cent pace in the April to June quarter which is lower than expected. The latest reading on the gross domestic product, released Thursday by the commerce department, reinforced expectations that the economy is getting sluggish.

The growth rate was lower than the 2.9 pc figure estimated for the April-to-June quarter a month ago. Many economists were predicting that this estimate would hold and thus there would be no revision to the overall GDP figure. Gross domestic product measures the value of all goods and services produced within the US and is considered the best barometer of the country's economic standing.

The second-quarter slowdown comes after the economy expanded at a 5.6 per cent in the January to March quarter, the strongest spurt in two-and-a-half years. The economy has shifted into a slower gear due to a number of factors, including the cooling of the once sizzling housing market, the toll of once surging energy prices and the impact of the Federal Reserve's two-year string of interest rate increases.
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General Motors, Renault alliance seems unlikely
Detroit: An alliance between troubled carmaker General Motors and Renault and Nissan Motor seems unlikely as the former does not seem eager for an alliance. However, GM's US market share is near an 80-year low.

The discussions between Ghosn, chief of Renault, Nissan and GM chief executive officer Rick Wagoner are expected to get over by October 15. GM has been undertaking its own turnaround plans and is convinced that it will succeed.

Wagoner says GM can be profitable as it gets smaller. Employee buyouts and efficiency moves are producing results worldwide, the company says, and savings eventually will flow to the bottom line. The company has launched new models like the GMC Acadia and Buick Enclave which are expected to result in a rebound in sales and market share.
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