The economy grew at a much slower pace this spring than previously estimated, mostly due to the largest surge in imports in 26 years and a slower buildup in inventories, MSNBC reported.

 The data are the latest sign that the economic recovery is losing steam.

 The Commerce Department said Friday the nation’s gross domestic product — the broadest measure of the economy’s output — grew at a 1.6 percent annual rate in the April-to-June period. That’s down from an initial estimate of 2.4 percent last month and much slower than the first quarter’s 3.7 percent pace. Many economists had expected a sharper drop.

 “I don’t think there’s any question that the economy has softened over the last 90 days or so and I think we are all concerned about that,” St. Louis Federal Reserve Bank President James Bullard told CNBC this morning.  

 The economy has grown for four straight quarters, but that growth has averaged only 2.9 percent, a weak pace after such a steep recession. The economy needs to grow at about 3 percent just to keep the unemployment rate, currently 9.5 percent, from rising.

 Today, Wall Street will watch closely a speech by Federal Reserve Chairman Ben Bernanke at a conference in Jackson Hole, Wyo. Investors will want to hear not only Bernanke’s view of the economy, but also what options he thinks the Fed still has to help the recovery regain momentum. It’s widely believed, however, that the Fed has little room to maneuver as interest rates remain near zero.

 The Dow closed below 10,000 Thursday, the first time since early July that it finished under that milestone. Investors have been generally pessimistic about the economic recovery.