The US has driven away the ghost of recession and confirmed GDP growth at 3% year-on-year in the second quarter, according to the Commerce Department’s Bureau of Economic Analysis. This movement was in line with what was anticipated by the consensuswhich had been expected to remain unchanged.
The estimate released Thursday “is based on more complete data than was available” last month and primarily reflects “upward revisions to private investment in inventories and federal government spending.” Imports, which are a subtraction in the GDP calculation, rose.
USA: What factors influenced the increase in growth?
Compared with the first quarter, “the acceleration of real GDP in the second quarter mainly reflected a private inventory investment rebounds and one acceleration of consumer spending. These movements were partly offset by the decline in residential fixed investment,” the agency said.
In this way, the world’s largest economy has accelerated since the first quarter, a period in which GDP grew by 1.6%, revised upwards from 1.4%.
The gross domestic purchase price index rose 2.4% in the second quarter, unchanged from the previous estimate. The personal consumption expenditures (PCE) price index rose 2.5%, unchanged from the previous month. Excluding food and energy prices, The PCE price index rose 2.8%, also unchanged from the previous estimate.
The Personal income in current dollars grew $315.7 billion in the second quarter, an upward revision of $82.1 billion from the previous estimate. The increase was driven by increases in wages and current personal transfer income.
On the other hand, disposable personal income increased by $260.4 billion, or 5.0%, in the second quarter, an upward revision of $77.3 billion from the previous estimate.
Unemployment data
Weekly unemployment claims were also released on Thursday, falling to 218,000 requests in the week of September 20th from 222,000 of the previous seven days. The figure was below the 225,000 applications estimated by the market.
By states, the The largest increases have been in Texas (+2,216), New York (+1,842), California (+1,108), Georgia (+1,014) and Michigan (+787), while the largest declines were recorded in Massachusetts (-1,969), Wisconsin (-794), Connecticut (-569), Nebraska (-517) and Louisiana (-224).
Regarding requests for regular benefits, There was an increase to 1,834,000, from the previous 1,821,000.
Source: Ambito
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