The Economy Is Stronger. These 4 Things Will Determine What Happens Next

https://www.npr.org/2021/07/29/ [login to see] /the-economy-is-surging-these-4-things-will-determine-what-happens-next
The U.S. economy grew at a strong pace in the spring as the country emerged from the darkest days of the coronavirus pandemic. The question now is what happens next, especially as the delta variant continues to spread.

On Thursday morning, the Commerce Department reported gross domestic product grew 6.5% in the period between April and June from a year earlier as the rollout of vaccines spurred a surge in economic activity.

Although that was below forecasts of around 8% growth, it still marked the second-strongest period of growth since 2003, or after a 33.4% annualized surge in the July-September period of last year, when the pandemic led to intense volatility in the economy.

The second quarter's growth was also faster than the revised 6.3% growth registered in January-March.

"Consumer spending was very strong in the second quarter," says Jay Bryson, the chief economist at Wells Fargo. "In general, you're looking at very, very strong growth."

Compared against the previous quarter, the economy grew 1.6% in April-June.