The US economy grew at an annual rate of 1.0 per cent in the second quarter from the first quarter, the commerce department said Friday, lowering its initial estimate of 1.3 per cent.
Gross domestic product had expanded only a feeble 0.4 per cent in the first quarter.
Growth was hit by cutbacks in state and local government spending and private inventory investment, as well as an increase in imports.
The second-quarter reading was a tick worse than analysts expected.
It came less than two hours before a highly anticipated speech by Federal Reserve chairman Ben Bernanke that has markets on tenterhooks hoping the central bank chief will offer support to boost sluggish growth.
Source : New Age
