US GDP growth for Q2 lowered to 2.1% | Business Upturn

US GDP growth for Q2 lowered to 2.1%

Lower projections for business spending make up the majority of the negative revision, which is slightly offset by an increase in state and local government spending forecasts.

According to the Bureau of Economic Analysis, the first estimate for the second quarter GDP growth in the United States was 2.4 percent, however this estimate has now been revised down to 2.1 percent annualised. The Q2 growth rate is now at 2%, which is similar to the Q1 2023 growth rate.

The negative revision is mostly due to lower expectations for business expenditures, which is only somewhat offset by an increase in forecasts for state and local government spending. The US government stated that the country’s economy expanded at a rate of 2.1 percent annually from April through June, down from its prior estimate. This shows persistent resilience in the face of rising borrowing prices for both consumers and businesses.