U.S. GDP growth in Q2 revised up to annual rate of 3.0 pct

A customer selects goods at a supermarket in Foster City, California, the United States, Feb. 28, 2024. (Photo by Li Jianguo/Xinhua)

In the advance estimate released in late July, the increase in real GDP was 2.8 percent. The update primarily reflected an upward revision to consumer spending.

WASHINGTON, Aug. 29 (Xinhua) -- U.S. gross domestic product (GDP) growth rate rose at an annual rate of 3.0 percent in the second quarter of this year, the Department of Commerce reported in its second estimate released on Thursday.

In the advance estimate released in late July, the increase in real GDP was 2.8 percent. The update primarily reflected an upward revision to consumer spending, according to the department's Bureau of Economic Analysis.

The increase in real GDP in the second quarter primarily reflected increases in consumer spending, private inventory investment, and nonresidential fixed investment. Imports, which are a subtraction in the calculation of GDP, increased.

In the first quarter, real GDP increased 1.4 percent. Compared to the first quarter, the acceleration in real GDP in the second quarter primarily reflected an upturn in private inventory investment and an acceleration in consumer spending. These movements were partly offset by a downturn in residential fixed investment.

Disposable personal income, however, saw slower growth in the second quarter, indicating potential weakness in consumption going forward.

The latest revision showed that disposable personal income increased by 183.0 billion U.S. dollars, or 3.6 percent, in the second quarter, a downward revision of 3.2 billion dollars from the previous estimate. This compared with an increase of 4.8 percent in the first quarter.

Real disposable personal income increased 1.0 percent, unrevised from the prior estimate, compared with an increase of 1.3 percent in the previous period.

The third and final estimate for GDP in the second quarter, based on more complete source data, will be released on Sept. 26.