The US economy shrank at an annual pace of 1% in the April-to-June quarter, government figures have shown.

The data was better than expected, but marked the longest period of decline since records began in 1947.

Analysts said the data suggested that the worst could be over for the US economy, which has now been in recession for a year.

However the figures for the January-to-March quarter were revised down to -6.4%. The previous estimate was -5.5%.

The figures are worked out on an annualised basis, which reflects the change if continued at the current pace over a year.