U.S. economic growth still strong at 6.6% annualized in the second estimate of Q2 - TD Bank Financial Group

ActionForex reports that analysts at TD Bank Financial Group review the second estimate for the U.S. Q2 GDP growth.

"Overall revisions to second-quarter real GDP were fairly minor. Real GDP growth was revised up one tick to 6.6%, from 6.5% in the advance estimate."

"Upward revisions to nonresidential fixed investment were a key feature, growing at a 9.3% annualized pace, compared to 8.0% in Q1. The decline in structures investment was revised up from -6.9% to -5.4%."

"Export growth was also revised up to 6.6%, compared to 6.0% in earlier estimates. Consumer spending was revised up modestly to 11.9%, versus 11.8%."

"Partially offsetting these upward revisions was a larger contraction in residential investment (-11.5% versus -9.8% in advance), a larger drawdown in inventories, and lower spending by state and local governments."

"Revised data show that growth in the U.S. economy was very slightly stronger in the second quarter than previously reported. As we sit in the back half of August the real question is how well spending will hold up against the current Delta wave. Growth in the third quarter is still tracking a very healthy 5%+ pace, but some high-frequency indicators are pointing to a loss in momentum in spending as consumer caution creeps in."