That's the fastest pace since 2014, driven by consumers who began spending their tax cuts and exporters who rushed to get their products delivered ahead of retaliatory tariffs.
The second quarter growth was the fastest one since the 4.9 percent growth recorded in the third quarter of 2014 and the third-best growth rate since the 2008 economic recession.
Private forecasters cautioned that the April-June pace may be unsustainable because it stems from temporary factors.
Business spending on equipment slowed, rising at a 3.9 per cent rate in the second quarter.
In other words, foreign companies appear to be importing as many goods as they can from the USA before their own governments retaliate against Trump's tariffs with duties of their own.
The US hasn't seen full-year GDP growth of more than 3% since 2005, but economists say the rate is within reach this year, due in part to increased government spending, and a $1.5 trillion tax cut that has given businesses and households more money to spend. "And I am thrilled to announce that, in the second quarter of this year, the United States economy grew at the awesome rate of 4.1 percent", the President said this morning.
Trial set to begin for ex-Trump campaign chairman Manafort
Gates has since pleaded guilty and agreed to help prosecutors with their case, as one of the government's star witnesses. Manafort has pleaded not guilty to 18 counts of bank fraud, tax fraud and failing to report foreign bank accounts.
Yankees acquire J.A. Happ from Blue Jays for rotation
He now owns a 4.18 ERA (3.84 FIP) with strikeout (27.4%) and ground ball (44.6%) rates that will play in Yankee Stadium. Drury, who has played every infield position this season except shortstop, is batting.176 in 18 games in the majors.
Fortnite’s Slurp Juice Is Receiving an Overhaul in the Next Patch
This then received a response from Epic Games' JShredz , seemingly confirming that they're taking that idea on board. As of right now, it is unknown how long the birthday event and playground will be available.
"We're getting explosive growth in the second quarter because of trade", economist Ellen Zentner of Morgan Stanley tells the Times.
Silvia says the tax cut will have a longer lasting effect, but nowhere near enough to sustain 4 percent or 5 percent GDP growth. The jump in the latest period was paced by consumer spending, which rebounded to a 4.0% pace in the second quarter from the first quarter's weak 0.5% pace.
Exports of US soybeans soared as companies sought to ship them to China before that country slapped tariffs on them in retaliation for USA tariffs on Chinese goods.
Gross domestic product probably increased at a 4.1 percent annualised rate, also as business stockpiled inventory ahead of the impending import duties, according to a Reuters survey of economists. "Look at the average for the first two quarters, it's now 3.2 percent". The president's team expects the economy to keep growth at a solid pace after 2018 as well. The consensus forecast was for real GDP to post a 4.3% growth rate, an insignificant difference from the initial estimate published today.
Meanwhile core PCE prices, a measure of inflation, grew 2% quarter-on-quarter, less than expected and a slight deceleration from the 2.2% pace of price growth seen to start the year.
"The bottom line takeaway is that this growth is not sustainable and it will slow in the second half of the year", said Lakshman Achuthan, co-founder of the Economic Cycle Research Institute. Annual growth has averaged just 2.2 percent since mid-2009 through the end of previous year, the same as previously reported.