The U.S. Commerce Department announced that the economy grew at an annualized rate of 3.7% in the second quarter. That was more than a full percentage point higher than the initial reading forecast earlier. Both business and consumers led the way with increased spending.
Some other good news the Commerce Department announced are as follows: (1) Business investment increased at an annual rate of 3.2%. (2) Increased government spending at the state and local level. (3) A better trade picture because of export improvements. (4) Increase in inventories. (5) Claims for unemployment benefits fell by 6000 last week. (6) A very solid report and very much confirms the view that the U. S. economy is on a solid growth track. (7) The Commerce Department said there are still some questions about whether the U.S. can skirt the mounting economic turmoil in China and a volatile stock market at home.
Next week the U.S. Labor Department will announce the job and unemployment numbers for August. The country continues to rebound and grow since the great republican economic meltdown of 2008 and the President's policies continue to work. Unfortunately, the republican party is still satisfied to be the party of NO and just recently some of their members in congress are talking about shutting down the federal government once again. For them, the future is like the failed past.
This commentary written by Joe Lorio
