The American economy regained its footing last quarter, expanding at an annual rate of 2.3% amid a better trade picture, robust consumer spending and a healthy housing sector.
According to a New York Times report, the rebound in April, May and June was largely expected, after a dismal performance in the first quarter of 2015.
Before the report on Thursday from the Commerce Department, analysts on Wall Street had been expecting to see a growth rate of about 2.5% for the second quarter.
“I think it’s an O.K. performance. Underlying growth is stable but not spectacular,” said Nariman Behravesh, chief economist at IHS, a research firm based in Lexington, Mass. “The economy is plodding along.”
While hardly exceptional by the standards of the 1990s or even compared with the 5% burst of growth in the summer of 2014, the pace of expansion is largely in line with the trajectory of the recovery, which began exactly six years ago.
In a separate report Thursday (July 30) from the Labor Department, initial unemployment claims last week at the state level increased by 12,000 to 267,000. Despite that slight rise, new jobless claims are close to a 32-year low — a sign that the labor market continues to be a bright spot despite the less-than-impressive overall growth rate.
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