Economy shows growth, but misses forecasts

WASHINGTON - The economy rebounded with a good head of steam in the spring before a credit crisis raised new fears about longer-term business health. The Commerce Department reported Thursday that the economy grew at a 3.8 % annual rate in the April-to-June quarter. Although the new reading for the second quarter was slightly less robust than a previous estimate of a 4 % growth rate, it nonetheless marked a substantial improvement over the feeble 0.6 percent growth rate registered in the prior quarter.