A shopper had Macy’s luggage outside the company’s flagship store near Herald Square in New York, USA on Tuesday, July 15, 2025.
Alan Chin | Bloomberg | Getty Images
As consumers and businesses resist tariff fluctuations, the U.S. economy is growing faster than the idea in the second quarter.
gross domestic product The Commerce Department rose on Thursday at an annualized rate of 3.3% between April and June, and its second estimate is the most comprehensive measure of economic activity. Reading better Initial 3.0% Estimation and the consensus forecast of 3.1% Dow Jones.
Consumer spending helps improve the figures, while the initial 1.4% estimate increased by 1.6%.
Importantly, a measure called private domestic buyers’ final sales jumped 1.9%, higher than the 1.2% figure above. Fed officials are closely watching the indicator to show that demand and sales focus is on activity within the U.S. borders, which is a particularly important measure to take into account the impact of uncertainty. President Donald Trump’s tariffs.
GDP numbers also reflect the abnormal effects of tariffs related to trade figures.
Imports subtracted from GDP fell 29.8% in the quarter in the quarter after the company’s inventory was ahead of the “Liberation Day” announcement on April 2. This figure is a little less than the previous estimate of 30.3%.
Meanwhile, exports that increased GDP fell by 1.3%, compared with the previous estimate of -1.8%. Taking these figures together, the net export increased by nearly 5 percentage points to the total of 2 Q2.
In the first half of this year, GDP grew by about 2.1%, with an average quarterly average of more than 1%. The economy signed a contract of 0.5% in the first quarter, mainly due to the impact of the import shock.
“The good news is that consumption is higher than previously thought. Despite the taxes and uncertainties, Americans continue to spend, although slower than in the past few years,” said Heather Long, chief economist at the Navy Federal Credit Union. “Looking forward, the economy may maintain this slower speed pattern as tariffs become more obvious for American consumers.”
According to the Atlanta Fed, the data for the first few months was mainly in books, and the economy grew 2.2% in the third quarter. gdpnow measure.
Estimates related to inflation have little change. Core personal consumption spending, excluding volatile food and energy categories, rose 2.5%, unchanged from previous figures, while the title PCE price index was below 2%, which fits the Fed’s inflation target.







