US economy grew at 1.4% rate in springWASHINGTON — The U.S. economy expanded at a slightly faster pace in the spring than previously reported, aided by new-found strength in business construction.The Commerce Department said Thursday the gross domestic product, the broadest measure of the economy, expanded at an annual pace of 1.4 percent in the April-June quarter, up from a previous estimate of 1.1 percent growth. Much of the upward revision reflected an increase in spending on structures such as office buildings.The modest second-quarter gain followed weaker readings of 0.8 percent GDP growth in the first quarter and 0.9 percent in the final three months of last year.

US home sales slump in AugustWASHINGTON — Fewer Americans signed contracts to buy homes in August, as a shortage of properties for sale is weighing on the market.The National Association of Realtors said Thursday its seasonally adjusted pending home sales index fell 2.4 percent last month to 108.5, its lowest reading since January. The number of signed contracts slumped sharply in the South, the nation’s largest housing market. But pending sales improved in the Northeast, Midwest and West.Home purchases and prices have risen much of this year but a slowdown surfaced in August as a lack of inventory has hurt the market.

PepsiCo sales boost 3rd quarter profitPURCHASE, N.Y. — PepsiCo sold more of its beverages and Frito-Lay snacks in North America during the third quarter, helping it deliver a profit that beat Wall Street expectations.The food and beverage company also raised its full-year earnings forecast.PepsiCo earned $1.99 billion, or $1.37 per share, for its most recent quarter. Excluding the impact of one-time costs, it said it earned $1.40 per share. Revenue declined to $16.03 billion from $16.33 billion, hurt by foreign currency exchange translation.