Compared to the prior estimate of 3.3 percent, the gross domestic product grew at an annual rate of 3.8 percent for the April to June period, according to the Department of Commerce.
Thursday’s upward revision of the US government’s second-quarter economic growth rate above expert forecasts and reflected higher-than-expected consumer spending.
Compared to the prior estimate of 3.3 percent, the gross domestic product grew at an annual rate of 3.8 percent for the April to June period, according to the Department of Commerce.
In a report, the department’s Bureau of Economic Analysis said that “Real GDP was revised up 0.5 percentage points from the second estimate, principally reflecting an upward adjustment to consumer spending.”
This was the quarterly figure’s second such modification.
A decrease in imports, which are deducted from GDP calculations, was the primary driver of GDP growth in the second quarter of this year in addition to an increase in consumption.
Businesses rushed to increase their inventories in anticipation of President Donald Trump’s broad tariffs in the first quarter of this year, but this slowed down a little in the second quarter.
According to the most recent estimate from the Commerce Department, real GDP fell by 0.6 percent during the first quarter.
The statistic was recalculated to reflect a 0.1 percentage point decrease in government expenditure, investment, and exports.