Report: U.S. Growth to Pick up, Hiring Steady
U.S. economic growth should accelerate in the second quarter and remain healthy for the rest of this year, according to a forecast by a group of U.S. business economists. Still, growth for the full year will likely come in lower than they previously estimated.
According to an Associated Press report, job growth should remain steady and consumer spending will also likely pick up, a survey by the National Association of Business Economists said Monday (June 9). The survey of 47 economists from companies, trade associations and academia was conducted from May 8 to May 21.
The survey also found that economists increasingly agree that the Federal Reserve will end its bond purchase program by the end of this year.
That’s partly because economists are optimistic about growth for the rest of this year: They expect it will jump to 3.5% in the second quarter and remain above 3% for the rest of the year.
But the pickup comes after harsh winter weather caused the nation’s Gross Domestic Product (GDP) to contract 1% in the first three months of the year, much worse than analysts had expected. GDP is the broadest measure of an economy’s output.
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