Not bad at all, regardless of leftist caterwauling...
US Q2 2025 Economic Report Overview
US Q2 2025 Economic Report Overview
- Real GDP saw a rebound, increasing at an annual rate of 3.0% after a 0.5% decrease in the first quarter.
- Driving Factors: This rebound was largely attributed to a significant decrease in imports and a rise in consumer spending, according to the U.S. Bureau of Economic Analysis.
- Underlying Trends: However, some analysts suggest that while the headline GDP number was strong, the underlying domestic demand was weaker, growing at a muted average rate of 1.2% in the first half of the year.
- Consumer Spending: Increased by 1.4% in the second quarter, better than the 0.5% in the prior period.
- Inflation: Headline Consumer Price Index (CPI) showed an upward trend, reaching 2.7% in June, partly due to base effects from 2024. However, core inflation (excluding food and energy) remained relatively stable and was slightly above the Federal Reserve's target rate, according to the U.S. Department of the Treasury (.gov).
- Employment: The labor market remained healthy in Q2, with monthly job growth picking up and the unemployment rate holding low (averaging 4.2% in the second quarter).
- Interest Rates: The Federal Reserve, amidst mixed macroeconomic signals, maintained the federal funds rate at a target range of 4.25% to 4.50% at its May and July meetings.

