GDP firms to 0.7 percent contraction
The U.S. government significantly improved its second quarter gross domestic product estimate in the latest and final revision Wednesday.
The GDP is released in preliminary, revised, and final estimates. The latest figure, based on freshly available data, put the second quarter GDP at minus 0.7 percent, an improvement from the 1 percent contraction estimated a month ago.
The second quarter figure is a sharp improvement over the 6.4 percent contraction of the first quarter.
The Bureau of Economic Analysis said motor vehicle output added 0.19 percentage points to the second quarter GDP after subtracting 1.69 percent in the first quarter. Computer sales, in contrast, subtracted 0.04 percentage points from the second quarter after adding 0.06 percentage points to the first.
Consumer spending, a critical component of the GDP, dropped 0.9 percent in the second quarter after increasing 0.6 percent in the first.