The Bureau of Economic Analysis (BEA) released the third estimate of real GDP growth for the second quarter of 2016. Real GDP grew at a 1.4% seasonally adjusted annual rate, up modestly from the 1.1% previous estimate. Personal consumption expenditures were slightly weaker, investment was less negative based on less drag from the energy sector and equipment spending, government spending was more negative, and net exports were stronger based largely on the contribution from exports.
Overall economic growth appears to be accelerating after two quarters below 1% growth. Continuing strength from consumer spending, a bottoming out of oil prices and the energy sector, and a rebound in equipment spending are expected to keep growth moving up in coming quarters.