The US economy grew more than expected in the second quarter. This stronger growth suggests that the economy might be headed for a “soft landing.”
The Bureau of Economic Analysis announced on Thursday that the output in the world’s largest economy grew by 3 percent in the three months leading up to the end of June, compared to the previous year. This was an increase from the initial estimate of 2.8 percent. Economists had expected the rate to remain steady.
The ‘core’ reading of the personal consumption expenditures index was adjusted down by 0.1 percentage points, now at 2.8 percent. This revision might boost the Federal Reserve’s confidence in reducing interest rates.
New applications for unemployment aid last week remained steady at 231,000. The numbers didn’t change much from the previous week.
The U.S. dollar strengthened on Thursday. This happened after new data revealed that the U.S. economy grew slightly faster than expected in the second quarter. This growth has led to increased optimism that the United States might avoid a recession or only experience a mild one.
The dollar index rose by 0.4%, reaching 101.44 after the report. The greenback also gained 0.5% against the yen, trading at 145.29.
As of August 19, 2024, according to IMF data, GDP of USA is $28.78 trillion. GDP Per Capita is $85.37 thousand.