United States Q2 GDP Rebounds

The United States economy expanded at a surprising 3% annual pace from April through June, rebounding from a 0.5% drop in the first quarter. This growth occurred despite disruptions from Donald Trump's trade wars and tariffs, which economists suggest are slowing the economy. Consumer spending showed lackluster growth, and private investment fell significantly. Inflationary pressure, as measured by the United States — Federal Reserve's favored PCE price index, eased in the second quarter. Donald Trump heralded the GDP gain and pressured the United States — Federal Reserve to cut interest rates, arguing against inflation and for stimulating home purchases and refinancing. Economists, however, warn that tariffs damage the economy by raising costs and making United States companies less efficient.