U.S. Economic Growth Slowed to 1.5% in Second Quarter, Falling Short of Expectations
The Commerce Department said consumer spending and business investment helped offset a 1 percentage point hit from trade.
- The Commerce Department reported Thursday that U.S. GDP expanded at a sluggish 1.5% pace from April through June, while the Federal Reserve's favored PCE inflation measure rose 3.7% last month.
- Economic growth decelerated from 2.1% in the first three months of 2026, as rising imports weighed on the nation's output of goods and services during the second quarter.
- Excluding volatile food and energy prices, core consumer prices rose 3.3% from a year earlier, while employers added an average 92,000 jobs per month this year, sustaining consumer spending power.
- On Wednesday, the Fed kept its benchmark interest rate unchanged for the fifth consecutive meeting, though three regional Fed presidents dissented, arguing for higher rates to combat elevated inflation.
- Ahead of November's midterm elections, higher costs have frustrated Americans, creating a critical test for President Donald Trump and Republicans who currently hold full control of Congress.
101 Articles
101 Articles
(Updated with White House reaction) Washington, Jul 30 (EFE).- The gross domestic product (GDP) of the US grew by 0.4% in April-June compared to the first quarter of 2026, while the US economy expanded by 1.5% at an annualized rate, a fall compared to 2.1 % in the previous period, reported Thursday the Bureau of Economic Analysis (BEA). These data align with the slowdown predicted by analysts and the market for this stage, although it is slightl…
The U.S. economy grew less than expected in the second quarter, although the acceleration of household consumption and the solidity of business investments have signalled that the activity remains robust. Commercial War: The U.S. pressure Mexico to tighten tariffs on Chinese steel, says effect agency: Trump's Tariff exposes Brazil's limits to increase participation in global trade The Gross Domestic Product (GDP), adjusted for inflation, advance…
Inflation remaining stubbornly high, U.S. economy grows sluggish 1.5% in 2nd quarter
Inflation remained above the central bank’s 2% target at a time when Americans are frustrated about the high cost of living ahead of the midterm elections, now less than 100 days away.
Consumers in the US are only moderately expanding their consumption, the gross domestic product increased by 1.5 percent. The inflation rate remains high at 3.7 percent.
US GDP growth was affected by the war and fell to 1.5% annually.
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