Robust Revision

reviseToday’s revised estimate of Q2 GDP to 3.7% puts it into the top fifth of all quarters since 2006. Most of the increase was due to improved June data, suggesting the economy strengthened as the quarter progressed. Consumer spending, the main driver of GDP, was revised up slightly, while business investment was revised up dramatically! Good enough for a rate hike, but that’s less likely due to recent market volatility.

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