GDP Up in Q2

via FoxNews again.

The government released its 2nd quarter GDP numbers today, and there was a big rebound from the 1st quarter's lackluster showing, with the economy growing at a relatively robust 3.4%, the stongest number in a year. The 1st quarter number was also adjusted up from .6% to .7%. Business investment and government spending helped the economy overcome the slump in the housing markets, with business spending increasing a whopping 22%, the best in 13 years.

The news on the inflation front also improved, with Q2 coming in at 1.4%, down a full percentage point from Q1 and the best quarterly number in four years. The Fed is expected to keep its overnight funds rate at 5.25%, perhaps for as long as the rest of the year. Unemployment remains at or near full employment levels, at 4.5%