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By Lucia Mutikani WASHINGTON (Reuters) - The U.S. economy grew faster than initially estimated in the third quarter but weak demand and a pile-up in business inventories buoyed the case for the Federal Reserve to keep up its bond-buying stimulus for now. Gross domestic product grew at a 3.6 percent annual rate instead of the 2.8 percent pace reported a month ago, the Commerce Department said on Thursday. Businesses accumulated $116.5 billion worth of inventories during the quarter, the most since the first quarter of 1998. Against this backdrop, economists said the Fed would likely remain cautious about trimming its asset purchases, even though recent signs on the labor market, including data on Thursday that showed a big drop in new claims for jobless benefits, suggest the economy is strengthening.