In the history of mankind, many republics have risen, have flourished for a less or greater time, and then have fallen because their citizens lost the power of governing themselves and thereby of governing their state. TR


Economy Rebounds to 2.6 Percent Growth in Second Quarter

Trump effect? Yeah, I think so. One of the most significant parts of this is that corporate investment is growing strongly. Business leaders get that the era of over-regulation is over and their taxes might be going down.

The second quarter is the first one that is more a Trump quarter than an Obama quarter, though of course we’ll be saddled with Obama’s lousy economic program for a long time. Two and half percent is not great, but it’s not bad, and it is a full point above average economic growth during the Obama administration and half a point above the “Obama recovery” era.

As excerpted from the Wall Street Journal:

Gross domestic product, a broad measure of goods and services produced in the U.S., rose at a 2.6% annual rate in the April to June period, the Commerce Department said Friday.

The second-quarter advance is a welcome rebound after a lackluster start to the year, when GDP grew at only 1.2% pace. It is less clear if stronger growth is a sign of momentum or simply repeating a familiar pattern of weak winters followed by a stronger spring and summer.

Details within Friday’s report were generally positive.

Both consumers and businesses helped propel growth in the second quarter.

Household outlays rose at a 2.8% pace, an improvement from the first quarter’s 1.9%. Consumers stepped up spending on both goods and services, possibly reflecting a broadly positive outlook since the election. The Conference Board’s index of consumer confidence in July rose to the second-highest level in 16 years.

Businesses also have been upbeat. A measure of corporate spending on projects, nonresidential fixed investment, climbed at a 5.2% pace. While that was down from the first quarter’s 7.2%, it is still one of the best readings since 2014.

6 thoughts on “Economy Rebounds to 2.6 Percent Growth in Second Quarter”

  1. The one party system is alive and well in this country. They proved it last night. Traitor McCain took the hit in stopping any reform. The senate knew the vote would fail and in a conspiracy, left it to the terminally ill “crash McCain” to take the fall.

    1. Keith – why no coverage of the 3 Awan brothers? 3 Muslims in charge of all kinds of sensitive Congress computers that were arrested this week.
      Most people do not know about the dismissal of the three Awan brothers, Abid, Imran, and Jamal Awan. On February 2nd, they were abruptly removed from their positions of managing information technology for the House Permanent Select Committee on Intelligence.
      They have been arrested, one while trying to flee the country.

      1. To add to the story, Debbie Wasserman Schultz is up to her political neck in this story:

        “Awan Brothers: Wasserman Schultz Threatened Police Chief For Gathering Evidence On Her IT Staffer’s Alleged Crimes”

        And who else is in the middle of this story? Well, it’s Steven Wasserman, Debbie’s brother, who is overseeing the investigation into the Awan case:
        “Steven Wasserman, Brother of Debbie Wasserman Schultz, Overseeing Awan Imran Case?”

        Oh, this could get very big and go to the very heart of intelligence leaks coming directly from Democrat leadership in the Congress.

          1. Yep, this thing is BIG, and the Democrats, Hillary, Wasserman-Schutlz, Podesta, maybe Anthony Weiner and Huma Abedin (remember how Weiner had all manner of classified information on his personal computer) and maybe a whole crowd of others associated with the Hillary campaign and the DNC. This is far, far, far bigger than, say, Watergate ever was Some people might end up in the clinker. The corporate media, no doubt, understands that its job now is to bury or downplay this story as much as they can get away with.

  2. Recently the Panama Canal Authority reported that worldwide trade was down 9%. That could be one factor the 2.6% is not higher.

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