Arab Today, arab today us economy grew sturdy 46 in second quarter
Last Updated : GMT 11:30:29
Arab Today, arab today
Arab Today, arab today

US economy grew sturdy 4.6% in second quarter

Arab Today, arab today

Arab Today, arab today US economy grew sturdy 4.6% in second quarter

US economy grew
Washington - AFP

The US economy grew at the fastest pace since 2011 in the second quarter, far offsetting the first-quarter's dive as the recovery picks up, revisions showed Friday.
Gross domestic product surged at an annual rate of 4.6 percent, the Commerce Department said, revising its previous 4.2 percent estimate.
The upward revision matched economists' expectations as data shows the economy is rebounding from the first quarter's 2.1 percent contraction, blamed in part on unusually severe winter weather that gripped large swaths of the country.
The department said the stronger second-quarter growth number mainly reflected larger increases in business investment than previously estimated, notably in manufacturing structures, and in exports.
"The American economy is firing on virtually all cylinders and cruising at a decidedly stronger rate than in recent years," said Sal Guatieri, senior economist at BMO Capital Markets.
The growth update raised the year-over-year rate to 2.6 percent, he said. "That's a decidedly firmer growth track than the 2.1 percent norm in the first four years of the recovery from the Great Recession."
Consumer spending, the main driver of US economic activity, rose a moderate 2.5 percent, about double the first quarter's gain and not significantly changed in the update. An upward revision to spending on health care services was offset by downward revisions to other services.
Business investment jumped 9.7 percent and exports surged 11.1 percent, swinging from a drop of 9.2 percent in the prior quarter.
"International trade will be driving much of the quarter-to-quarter volatility through at least 2015, with declining growth in exports and stronger growth in imports," said Doug Handler, chief US economist at IHS Global Insight.
"This is due to a strong US economy and the recent and expected additional appreciation in the dollar."
The report's key inflation indicator, the price index for gross domestic purchases, accelerated to 2.3 percent from 1.4 percent in the prior quarter.
Still, inflation remains well below the Federal Reserve's longer-term 2.0 percent target.
The personal consumption expenditures price index, the Fed's preferred inflation measure, rose 1.6 percent in July from a year ago, according to the most recent data.
The White House welcomed the brisk growth numbers.
"Today's revision confirms that economic growth in the second quarter was strong, and other recent data suggest that this momentum has continued into the subsequent months," said Jason Furman, head of President Barack Obama's Council of Economic Advisers.
Furman said, however, there was "more work to do to both boost growth and ensure that growth translates into greater financial security for working families," reaffirming Obama's commitment to supporting investments in job creation and encouraging higher worker pay.
Unemployment is a key concern for the Fed. Although the jobless rate has dropped to 6.1 percent and job creation has picked up, a large number of people are out of the job market or underemployed, and wages have remain relatively flat since the severe recession ended in mid-2009.
The report signaled the economy entered the third quarter with solid momentum, although recent indicators have shown some activity cooling, particularly in the housing market.
Moody's Analytics analyst Scott Hoyt forecast that housing was poised to accelerate as vacancy rates are tumbling and rent growth is picking up.
"Stronger homebuilding is a key to moving GDP growth from its current 3.0 percent rate to the nearly 4.0 percent pace expected by mid-decade," Hoyt said.
The government's first third-quarter estimate is scheduled on October 30.
According to the latest Fed projections, the world's largest economy would end the year at with an annual growth rate between 2.0 percent and 2.2 percent.
"This report fits nicely with our view that the economy will continue to grow at or just slightly below trend this year, after several years of disappointing growth," said Steven Ricchiuto at Mizuho Securities.

 

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today us economy grew sturdy 46 in second quarter Arab Today, arab today us economy grew sturdy 46 in second quarter

 



Arab Today, arab today
Arab Today, arab today Mohamed Bahari prepares new collection for spring 2017

GMT 06:15 2017 Monday ,27 February

Mohamed Bahari prepares new collection for spring 2017
Arab Today, arab today As Olympics loom, China plunges into snow biz

GMT 10:08 2017 Tuesday ,28 February

As Olympics loom, China plunges into snow biz
Arab Today, arab today Sheds light on major steps in 12-year career

GMT 06:07 2017 Monday ,27 February

Sheds light on major steps in 12-year career
Arab Today, arab today UN envoy sets out framework

GMT 07:25 2017 Monday ,27 February

UN envoy sets out framework
Arab Today, arab today Kalam Nawaem made a difference in social issues

GMT 06:43 2017 Tuesday ,28 February

Kalam Nawaem made a difference in social issues
View News in Arabic - Business: اقتصاد دولي
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Parliament considers solutions to overpopulation

GMT 20:27 2017 Monday ,27 February

Parliament considers solutions to overpopulation
Arab Today, arab today Penguins in the age of dinos

GMT 11:44 2017 Saturday ,25 February

Penguins in the age of dinos
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today 'Constructive' Vauxhall talk with union

GMT 08:54 2017 Saturday ,25 February

'Constructive' Vauxhall talk with union
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Aspires present the story of Egypt’s first president

GMT 06:18 2017 Sunday ,26 February

Aspires present the story of Egypt’s first president
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage

GMT 06:42 2017 Saturday ,25 February

Reasons for the delay 'On the Stairs of Servants'

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years

GMT 18:23 2017 Friday ,24 February

Fadi explains secrets of  Nancy Ajram's newlook

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"

GMT 10:51 2017 Saturday ,25 February

Pigs with edited genes show resistance

GMT 18:28 2017 Saturday ,25 February

Tourist guide explains types of tourism

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 06:28 2017 Tuesday ,28 February

Dumbphones survive rise of the smartphone

GMT 22:42 2017 Thursday ,23 February

Nasima Gamei revives heritage in jewelries
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday