Business Maverick: US Economy Shrinks for a Second Quarter, Fueling Recession Fears

  • 📰 dailymaverick
  • ⏱ Reading Time:
  • 36 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 18%
  • Publisher: 84%

Nigeria News News

Nigeria Nigeria Latest News,Nigeria Nigeria Headlines

The drumbeat of recession grew louder after the US economy shrank for a second straight quarter, as decades-high inflation undercut consumer spending and Federal Reserve interest-rate hikes stymied businesses and housing.

Gross domestic product fell at a 0.9% annualized rate after a 1.6% decline in the first three months of the year, the Commerce Department’s preliminary estimate showed Thursday. Personal consumption, the biggest part of the economy, rose at a 1% pace, a deceleration from the prior period.

The report will add to political headaches for President Joe Biden and complicate the Fed’s calculus over how aggressively to raise interest rates. A key gauge of underlying demand that strips out the trade and inventories components — inflation-adjusted final sales to domestic purchasers — fell at a 0.3% pace in the second quarter compared with a 2% gain in the prior period.

, have announced plans in recent weeks to cut workers. Others, like Apple Inc. and Microsoft Corp. are slowing hiring.Broader weakness in a labor market that’s shown only limited signs of cooling would remove a key source of support for the economy and help shape the course of monetary policy later this year.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 3. in NG

Nigeria Nigeria Latest News, Nigeria Nigeria Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Oil hardly changed steady as demand worries counter fall in US stocksConcern about weaker demand offset industry data that showed a larger-than-expected decrease in US crude stockpiles
Source: BDliveSA - 🏆 12. / 63 Read more »

Business Maverick: US futures up on earnings, while Asia stocks dip pre-Fed: Markets wrapUS equity futures rallied on Wednesday after resilient earnings from Google parent Alphabet and an upbeat outlook from Microsoft helped alleviate some of the wider caution in markets. I am super excited right now, I can now pay my bills and take good care of my family.. Thank you for bringing happiness to my home with just R10,000 i got R100,000 in 7days James_Alderson8
Source: dailymaverick - 🏆 3. / 84 Read more »