The U.S. economy chugged along at a solid pace in the second quarter, led by resilient consumers, despite ongoing effects of the U.S.-China trade war and corresponding tariffs as well as slowing growth elsewhere around the world, particularly in manufacturing.
The Bureau of Economic Analysis on Thursday released its final reading of real growth domestic product data from the second quarter, with U.S. economic growth up 2% vs. 3.1% in the first quarter. Analysts polled by FactSet had expected no change in the revised number.
U.S. growth continued to be fueled by consumer spending, which rang in at a quarter-over-quarter inflation-adjusted pace of 4.7%. The GDP price index was unchanged at 2.2%.
A divided Federal Reserve last week lowered the its benchmark interest rate by 25 basis points -- the second rate cut this year -- as ongoing uncertainty about the global economy and the economic fallout from the China-U.S. trade war overrode continued evidence of solid U.S. growth.