U.S. GDP grew 2.3% in Q2 2015

The U.S. Department of Commerce’s Bureau of Economic Analysis also revised a previous prediction of a 0.2 percent decrease in first quarter gross domestic product to a 0.6 percent increase.    United States gross domestic product (GDP) expanded at an annual rate of 2.3 percent in the second quarter of 2015, according to Wednesday’s estimate from the Department of Commerce’s Bureau of Economic Analysis.
   Commerce attributed the acceleration in U.S. economic growth to positive consumer, state, and local government spending, increased exports, and a deceleration of imports which were partly offset by federal government spending, private inventory investment, and nonresidential fixed investment.
   Investment advisory firm Seeking Alpha characterized the U.S. GDP growth as “tepid,” as many analysts expected a 2.6 percent annualized growth rate for the quarter.
   In addition, Commerce revised its first quarter GDP estimate to show a 0.6 percent increase. The department previously reported Q1 GDP to have contracted 0.2 percent.
   In the second quarter, real personal consumption expenditures increased 2.9 percent compared with a 1.8 percent increase in the first quarter. Durable goods increased 7.3 percent and nondurable goods increased 3.6 percent, compared with Q1 increases of 2.0 percent and 0.7 percent, respectively. Services were up 2.1 percent, the same as in the first quarter.
   After falling 6 percent in the first quarter, real exports of goods and services increased 5.3 percent in the second quarter. Real imports of goods and services increased 3.5 percent in Q2 compared with a Q1 increase of 7.1 percent.
   Gross domestic product is considered one of several key indicators in the overall health of the U.S. economy.