GDP grew at a 2.4% pace in the second quarter, topping expectations despite recession calls

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GDP grew at a 2.4% pace in the second quarter, topping expectations despite recession calls
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GDP increased at a 2.4% annualized rate for the April-through-June period, better than the 2% consensus estimate from Dow Jones.

GDP, the sum of all goods and services activity, increased at a 2.4% annualized rate for the April-through-June period, better than the 2% consensus estimate from Dow Jones. GDP rose at a 2% pace in the first quarter.Markets moved higher after the report, with stocks poised for a positive open and Treasury yields on the rise.

Perhaps as important, inflation was held in check through the period. The personal consumption expenditures price index increased 2.6%, down from a 4.1% rise in the first quarter and well below the Dow Jones estimate for a gain of 3.2%. In the face of persistent calls for a recession, the economy showed surprising resilience despite a series of Federal Reserve interest rate increases that most Wall Street economists and even those at the central bank expect to cause a contraction.

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