The US Q2 Growth Rate Dropped To 2.1%, Up From 2.5% Last Year.

The US government announced that the economic growth rate dropped sharply to 2.1% in the second quarter of 2019, due to reduced industrial activity and declining exports. And last year's economic growth rate was revised from 3% to 2.5%, which means that President Trump's achievements have been broken.

The US Department of Commerce announced that, compared with the first quarter, the gross domestic product (GDP) of the quarter from April 2019 to June grew by only 2.1%. Although it is better than 1.8% of analysts' forecast, it is far less than the first quarter growth rate of 3.1%.

The commerce department also revised the economic growth rate in the fourth quarter of the United States to (2018) from 2.2% in March 2019 to 1.1%. This resulted in the growth of the US economy in the fourth quarter of last year compared with the same period in 2017, and the growth rate was cut from 3% of the original estimate to 2.5%. This is the way in which the White House and many economists prefer to measure the growth rate of the whole year.

Trump has repeatedly praised the US economic growth rate of 3% in public and social media, the best achievement in 14 years.

But the latest figures highlight the decline in US economic momentum in the last few months of last year. At that time, the US Federal Reserve Council (Fed) took the initiative to raise interest rates instead of trump.

Now, it is widely predicted that the joint meeting will reverse its practice in December next week and decide to cut interest rates.

The second quarter of the US economy was strongly supported by consumer spending on cars, food and clothing, and the federal government's spending increased by 10 years. The largest increase in defense spending beyond 21 years was due to the one-time effect of the government's experience in paying public officers salaries after the closure of the first part of the year.

However, these deficiencies make up for the sharp drop in US investment in factories and commercial buildings, a drop of more than 10% over the first quarter, and royalties and other intellectual property income also declined.

In addition, the slowdown in global economic growth has led to a weakening demand for foreign exports to the United States, which has led to a decline in exports of US auto parts and plant equipment. The weakening of non durable goods in manufacturing industry in the United States also decreased, and the scale of retail and wholesale trade declined.