Market Review, July 2011

Publication Date: 

July 2011


The U.S. second quarter real GDP increased at an annual rate of 1.3%, significantly lower than the 1.8% expected annual growth rate. Consumer spending (red bar in the graph below) decelerated sharply during the quarter, advancing at an annual rate of 0.1%, the weakest growth rate reported since the recession ended two years ago. The real surprise was the sharp downward revision of the first quarter GDP growth to 0.4% from the previously reported 1.9%.