Wednesday, July 31, 2013

U.S. economy finds momentum in second quarter, further gains seen

U.S. economic growth unexpectedly accelerated in the second quarter, laying a firmer foundation for the rest of the year that could bring the Federal Reserve a step closer to cutting back its monetary stimulus. Gross domestic product grew at a 1.7 percent annual rate, the Commerce Department said on Wednesday, stepping up from the first-quarter's downwardly revised 1.1 percent expansion pace.
Leave it to Reuters to spin this as some sort of positive. Actually last qtr. was revised down from 1.8% growth so based on that we have lost ground. One could make a sound bet that the 2nd qtr. will be revised down as well. Regardless, even if it holds 1.8% growth is extremely anemic.

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