US Q2 growth drops to 1.5%
A report shows that the U.S. economy grew less than expected during the second quarter of the year, with the gross domestic product increasing at an annual rate of 1.5 percent, down from 2.1 percent in the first quarter. This fell short of analysts' forecasts, which ranged between 1.8 and 2 percent. Several factors such as government spending, investment, and exports declined, while an increase in consumer spending was considered a temporary support for growth. Additionally, the inflation rate slowed to 3.7 percent in June, down from 4.1 percent in the previous month, yet it remains above the Federal Reserve's target of 2 percent. The Federal Reserve held interest rates steady, despite expectations of a hike, amid ongoing economic pressures stemming from international factors and changes in trade policies. The Fed emphasized the economy's resilience despite these challenges.
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