http://www.bea.gov/newsreleases/national/gdp/gdpnewsrelease.htm
GDP Increases 2.5 Percent; Up 2.1% Outside Inventories
By
GENE BALAS
| SEP 26, 2013 | 8:51 AM EDT
In the third and final estimate for second quarter GDP, estimates for growth were unchanged at 2.5%. The second quarter began six months ago and ended three months ago. The report is dated; since then, growth has been somewhat underwhelming, outside of consumer spending on cars and manufacturing related to that theme of consumers’ replacing aging vehicles, given that the average age of cars on the road is at a record high. And subtract out inventory accumulation, and growth for real final sales was a more modest 2.1%.
Real personal consumption expenditures increased 1.8% in the second quarter, compared with an increase of 2.3% in the first. Durable goods increased 6.2%, compared with an increase of 5.8%. Nondurable goods increased 1.6%, compared with an increase of 2.7%. Services increased 1.2%, compared with an increase of 1.5%.
Real nonresidential fixed investment increased 4.7% in the second quarter, in contrast to a decrease of 4.6% in the first. Nonresidential structures increased 17.6%, in contrast to a decrease of 25.7%. Equipment increased 3.3%, compared with an increase of 1.6%. Intellectual property products decreased 1.5%, in contrast to an increase of 3.7%. Real residential fixed investment increased 14.2%, compared with an increase of 12.5%.
Real exports of goods and services increased 8.0% in the second quarter, in contrast to a decrease of 1.3% in the first. Real imports of goods and services increased 6.9%, compared with an increase of 0.6%.
Real federal government consumption expenditures and gross investment decreased 1.6% in the second quarter, compared with a decrease of 8.4% in the first. National defense decreased 0.6%, compared with a decrease of 11.2%. Nondefense decreased 3.1%, compared with a decrease of 3.6%. Real state and local government consumption expenditures and gross investment increased 0.4%, in contrast to a decrease of 1.3%.
The change in real private inventories added 0.41 percentage point to the second-quarter change in real GDP, after adding 0.93 percentage point to the first-quarter change. Real final sales of domestic product — GDP less change in private inventories — increased 2.1% in the second quarter, compared with an increase of 0.2% in the first.
Inflation remains well below the Fed’s 2% target, increasing just 0.2% in the second quarter, 0.1 percentage point less than the second estimate; this index increased 1.2% in the first quarter. Excluding food and energy prices, the price index for gross domestic purchases increased 0.8% in the second quarter, compared with an increase of 1.4% in the first.