Recession Spoiler: Real GDP Grew At 3.3% in Q2
Real GDP exceed consensus expectations and grew at an annual rate of 3.3% in the second quarter 2008 (see chart above), a significant upward revision from the 1.9% advance estimate one month ago. According to First Trust Advisors, "The largest drag on real GDP continues to be home building, which subtracted 0.6 points from the growth rate. Excluding housing, real GDP grew at a 4.0% rate in Q2."
The 3.3% growth in real, second-quarter GDP was also above the 2.72% average since 1998 (see chart above).