Real gross domestic product (the output goods and services produced by labor and property in the United States) rose at an annual rate of 4%. This is good news, considering real GDP had decreased 2.1% in the previous quarter.
The Bureau asserts that the rise in real GDP in the second quarter was a reflection of contributions from personal consumption expenditures (PCE), private inventory investment, exports, nonresidential fixed investment, state and local government spending, and residential fixed investment.
Other findings from the BEA report:
– Real personal consumption expenditures rose by 2.5%, compared with an increase of 1.2 % in the prior quarter.
– Durable goods increased 14%, up from 3.2%.
– Nondurable goods increased 2.5%, which demonstrated no change from the first quarter.
– Services increased 0.7% in the second quarter, compared with an increase of 1.3% in the first quarter.