US GDP grew 2.1% annualized in Q2, better than expectation of 1.8%. GDP price index rose 2.4% qoq, below expectation of 4.0% qoq.
There were contributions from GDP growth from personal consumption expenditures (PCE), federal government spending, and state and local government spending. They were partly offset by negative contributions from private inventory investment, exports, nonresidential fixed investment and residential fixed investment. Imports, which are a subtraction in the calculation of GDP, increased.
Deceleration in growth reflected downturns in inventory investment, exports, and nonresidential fixed investment. These downturns were partly offset by accelerations in PCE and federal government spending.
