The US economy grew at an annualised rate of just 1.5 per cent in the second quarter of 2026, marking a slowdown from the previous period even as American consumers continued to splash out.
Thursday’s figure from the Bureau of Economic Analysis was down from the 2.1 per cent growth rate in the first three months of the year and fell short of the 2 per cent figure forecast in a Bloomberg poll of economists.
Growth was dragged down by lower government spending and slower growth in exports and business investment, the BEA said. But consumer spending rose sharply, suggesting the economy is in robust shape despite the fallout from President Donald Trump’s war with Iran.
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