WASHINGTON -- The U.S. economy grew at a healthy 3.1% annual clip from July through September, propelled by consumer spending and an uptick in exports, the government said in an upgrade to its prior estimate.

Third-quarter growth in U.S. gross domestic product -- the economy's output of goods and services -- accelerated from the April-July rate of 3%, the Commerce Department said Thursday. GDP growth now topped 2% in eight of the past nine quarters.

Consumer spending, accounting for about two-thirds of U.S. economic activity, expanded at a 3.7% pace, an uptick from Commerce's previous third-quarter estimate of 3.5%. The unemployment rate remains low at 4.2%.

Exports climbed 9.6%. Business investment grew a lackluster 0.8%, but investment in equipment expanded 10.8%. Federal government spending and investment jumped 8.9%, including a 13.9% surge in defense spending.

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