The US economy grew at a 3.8% rate in the second quarter, significantly stronger than previously reported [View all]

Source: CNN Business

Updated Sep 25, 2025, 9:54 AM ET
PUBLISHED Sep 25, 2025, 8:33 AM ET


Washington — The US economy’s comeback in the second quarter was just revised higher again, and economists estimate that momentum carried on in the third quarter, underscoring the resilience of the world’s largest economy.

Gross domestic product, the broadest measure of economic output, rose at an annualized rate of 3.8% from April through June, the Commerce Department said Thursday in its third and final estimate. That’s significantly higher than the 3.3% rate reported in the second estimate, and well above the 3% initially reported.

GDP was revised higher largely due to new additional data on consumer spending. Personal consumption expenditures rose at an annualized pace of 2.5% in the second quarter, according to the third estimate, up sharply from the second estimate’s 1.6%. The big difference between the first estimate and the third one is “certainly notable and outside the norm,” Bret Kenwell, US investment analyst at investing platform eToro, told CNN.

“This year’s economic data — especially over the past few months — has been noisy, and economic policy uncertainty has remained elevated throughout 2025,” he said. “With so many moving parts in the GDP report, it’s not surprising that larger-than-expected revisions are showing up, particularly in a year marked by heightened volatility and mixed signals.”

Read more: https://www.cnn.com/2025/09/25/economy/us-gdp-q2-final