SFY - Consumer Spending Surged In Q2 But Economic Growth Still Eased
The economy grew 2.1% in the second quarter, the Bureau of Economic Analysis reports. Although that marks a hefty slowdown from Q1's 3.1% increase, the Q2 advance is a bit stronger than expected.
A surge in consumer spending is the main reason that GDP growth beat expectations. Personal consumption expenditures surged 4.3%, sharply above Q1's 1.1% gain. The ramp-up in spending reflects the strongest quarterly gain since the final quarter of 2017.
Elsewhere, headwinds were conspicuous. "We have pockets of weakness in manufacturing, business investment, but as the consumer goes, so does the U.S. economy