In the second quarter of 2017 US GDP expanded by 0.21 p.p. with respect to the previous quarter, registering a y/y growth rate of 2.21%. This behavior is explained by an increase in the growth rate of domestic demand. During 2Q17, the unemployment rate decreased when compared to the previous quarter, standing at a rate of 4.30%. The US dollar depreciated against the euro, from 1.06 $/€ in 1Q17 to 1.10 $/€ in 2Q17. Finally, inflation decreased in 2Q17 to 1.91%.
- US GDP registered an increase in its y/y growth rate during the second quarter of 2017, up to 2.21%, 0.21 p.p. higher than the rate recorded in 1Q17. This behaviour is driven by an increase in the y/y growth rate of domestic demand, which compensated for the reduction of external demand. OECD forecasts place the growth rate of US GDP at 2.14% in 2017 and at 2.38% in 2018.
- In the second quarter of the year, domestic demand experienced an increase in its y/y growth rate, from 2.14% to 2.35%. This acceleration was due to higher private investment growth and the stabilization of government consumption growth compared to the previous quarter, which offset the deceleration of private consumption.
- The unemployment rate decreased by 0.40 p.p. in quarterly terms, standing at 4.30% in 2Q17. The y/y growth rate of employment increased by 0.29 p.p. in this period, up to 1.34%.
- During 2Q17, the US dollar registered a depreciation of 0.04 $/€ when compared to the previous quarter, standing at an exchange rate of 1.10 $/€ in 2Q17. This depreciation of the dollar partly reflected growing uncertainty about the fiscal policy of the new Government.
- Inflation decreased by 0.66 p.p. when compared to 1Q17, reaching a rate of 1.91%. Price growth decreased among most expenditure categories in 2Q17, with energy prices leading the reduction.
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