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The U.S. economy continues to grow and at a stronger pace than expected.

And Tesla's profits may have fallen, but government programs are helping boost the electric carmaker.

This is money from rivals, but it is coming through government policies.

Policies intended to move car companies toward making zero-emission vehicles.

Plus, Uber and Lyft win a California ruling to treat drivers as independent contractors.

It's Thursday July 25th.

I'm Sabrina Siddiqui for the Wall Street Journal.

This is the PM edition of What's News, the top headlines and business stories that move the world today. The U.S. economy accelerated in the second quarter as consumers increased their spending,

businesses invested more in equipment and stocked inventories and inflation cooled.

The Commerce Department said today that gross domestic product, the value of all goods and services

produced in the U.S. adjusted for inflation and seasonality, rose at an annual rate of 2.8% for April through

June to $22.9 trillion.

That was faster than the 1.4% pace in the first quarter and well above the 2.1% rate economists had expected.

Household spending, the main driver of the U.S. economy, increased at a quicker pace

as Americans' incomes continue to rise.

Today's release is one of the last major readings of the economy's temperature

that officials at the Federal Reserve will see before a meeting next week.

The new data shouldn't change the outlook for the Fed where officials have signaled that they expect

...