Trump touts economic growth

Trump touts economic growth

The U.S. economy grew by 4.1 percent in the second quarter of 2018, marking the fastest economic expansion in almost four years, according to a highly anticipated estimate released Friday by the Commerce Department.

President Trump touted his economic success on Friday during a press conference at the White House, calling the number "very sustainable" driven by pro-growth policies.

Business spending, which is getting a boost from lower corporate taxes, is one of the factors supporting a projected pickup in second-quarter economic growth.

Friday's report showed the economy boomed in the second quarter of 2018, although many economists and policymakers believe the pace is unlikely to be sustained in the long run, given the ageing of the population and slow productivity growth of recent years.

This is the first time since the 2016 election that United States growth has hit the 4% target President Trump set himself during the campaign.

But forecasters cautioned that the April-June pace was due mainly, though not entirely, to temporary factors. "If growth continues at 3.0% the next two quarters, then real GDP growth will indeed make it to 3.1 percent on a Q4/Q4 basis", he wrote.

The tax cuts benefit ties positively back to President Trump, but the tariffs loom over this economic growth. The economy will this year be supported by a US$1.5 trillion tax cut package and increased government spending in the last quarter.

Federal Investigators Have More Than 100 Trump-Related Tapes From Cohen
Trump is doubling down in his efforts to tell supporters to trust him over the words of critics and news reports". To the extent that his legal travails spill over onto the president, it's worrisome to the White House.

"We are now on track to hit an average GDP annual growth of over 3 percent and it could be substantially over 3 percent", he said.

Soybean exports exploded in the second quarter, as customers in several countries scrambled to snatch up supplies before new foreign taxes on US soybeans went into effect, part of a broad retaliation against Trump's tariffs on a range of foreign products. Excluding the tariffs-related bump, analysts estimate the economy probably grew at a 2.5 percent pace in the second quarter.

Bankrate.com's Hamrick said 3 percent growth "is worth celebrating". That was a pickup from the first quarter's revised growth rate of 2.2 per cent, the New York Times reported.

Canada, Mexico and other countries have announced retaliatory tariffs against USA products in response to the US tariffs on steel and aluminum imports. Consumer spending grew 4 percent, more than estimated, while nonresidential business investment climbed at a 7.3 percent clip.

One reason why private economists aren't on the same page as the President is their wariness about what will happen when the unexpected $US300 billion boost to federal spending this year and next fades.

He said the GDP numbers also underscored the urgent need for the job-training programs that the administration is pushing.

While Friday's report showed the United States economy accelerating, the gains were in line with analyst forecasts - and were not out of proportion with some quarters in previous years. Annual growth has averaged just 2.2 percent since mid-2009 through the end of previous year, the same as previously reported.

Related Articles

  • Demi Lovato Was Found Unconscious In Her Bed When She Overdosed

    Demi Lovato Was Found Unconscious In Her Bed When She Overdosed

    As a regular on the Disney series "Sonny with a Chance", and Lovato became one of the network's brightest young stars. After being admitted to the hospital, Demi's rep confirmed to HollywoodLife that she was "awake and with her family".
    Tour de France: Defending champion mistaken for fan and tackled by police

    Tour de France: Defending champion mistaken for fan and tackled by police

    With Froome conceding he has little chance of winning after falling further behind on Wednesday, that tension may ease a little. But his day went from bad to worse when he was forced off his bike by a police officer who had mistaken him for a fan.
    Imran Khan declares victory in Pakistan election despite accusations of rigging

    Imran Khan declares victory in Pakistan election despite accusations of rigging

    The Islamic State (IS) extremist group claimed responsibility for the attack. The Election Commission of Pakistan ruled out any "conspiracy" in the delay.
  • Ryan doesn't back effort to impeach Rosenstein

    Ryan doesn't back effort to impeach Rosenstein

    It is highly unusual, if not unprecedented, for lawmakers to demand documents that are part of an ongoing criminal investigation. Rosenstein has said the documents contain personal data, information about intelligence sources and other sensitive information.
    Trump's Ex-Aide Manafort Due in Court Over Bid to Delay Trial

    Trump's Ex-Aide Manafort Due in Court Over Bid to Delay Trial

    The Mueller indictment contains an email chain between Laporta and others regarding Manafort's "Int'l Income Question". The trial had been scheduled to start with jury selection July 25.
    FBI Releases Carter Page FISA Warrant Applications

    FBI Releases Carter Page FISA Warrant Applications

    Special Counsel Robert Mueller is investigating potential collusion between Russian Federation and Trump's campaign. President Donald Trump , speaks at a news conference at RIA Novosti news agency in Moscow, Russia , Dec. 12, 2016.
  • TV's Roseanne says tweet 'cost me everything' but wasn't racist

    TV's Roseanne says tweet 'cost me everything' but wasn't racist

    Barr has apologised to people for her tweet about former Barack Obama adviser Valerie Jarrett , an African-American woman. ABC Entertainment President Channing Dungey called the tweet "abhorrent, repugnant and inconsistent with our values".
    No regrets for McIlroy after Open second

    No regrets for McIlroy after Open second

    Then on five, a three-putt would send him back to -3, as the second putt from around just five feet lipped out. Molinari broke a sequence of five majors won by Americans and for a while Woods looked like making it six.
    GOP House Members Move To Impeach Deputy Attorney General Rod Rosenstein

    GOP House Members Move To Impeach Deputy Attorney General Rod Rosenstein

    At a Congressional hearing last month, Rosenstein responded to charges by Jordan that he was "hiding information from Congress". Eleven House Republicans have introduced articles of impeachment against Deputy Attorney General Rod Rosenstein .
  • Conor McGregor avoids jail over melee at UFC media event

    Conor McGregor avoids jail over melee at UFC media event

    Nurmagomedov, the current 155-pound champion, was on the bus and said he had to be restrained to keep from fighting McGregor. A meeting in NY could be seen as closure for the rivals after their near-clash in April at Barclays Center in Brooklyn, N.Y.
    ISIS claims responsibility for deadly Toronto shooting

    ISIS claims responsibility for deadly Toronto shooting

    Police are looking into Hussain's past and are working to determine what may have prompted him to commit Sunday's massacre. They also stressed that their son had been suffering from severe mental health issues including psychosis and depression.
    Israel shoots down Syrian fighter jet in Israeli airspace

    Israel shoots down Syrian fighter jet in Israeli airspace

    Israeli soldiers look out towards Syria from an observation next to the Syrian border on July 23, 2018 in the Golan Hights. It has also pledged to prevent its arch-enemy Iran from entrenching itself militarily in the neighbouring country.