DEVELOPING: Atlanta Fed Announces GDP for Second Quarter at Minus 2.1 — Confirms US Economy Under Joe Biden Is Facing a Recession
This didn’t make any headlines for some reason.
The Atlanta Federal Reserve announced on Friday that the second quarter of 2022 saw a GDP of minus 2.1 percent.
The Federal Reserve Bank of Atlanta’s GDPNOW economy tracker plunged even deeper into negative territory on Friday, falling from minus one percent to -2.1 percent. For nearly two weeks prior to this week, the tracker had shown zero growth.
The Atlanta Fed reported on Friday.
Recent forecasts for the GDPNow model are available here. More extensive numerical details—including underlying source data, forecasts, and model parameters—are available as a separate spreadsheet. You can also view an archive of recent commentaries from GDPNow estimates.
Latest estimate: -2.1 percent — July 1, 2022
The GDPNow model estimate for real GDP growth (seasonally adjusted annual rate) in the second quarter of 2022 is -2.1 percent on July 1, down from -1.0 percent on June 30. After this morning’s Manufacturing ISM Report On Business from the Institute for Supply Management and the construction report from the US Census Bureau, the nowcasts of second-quarter real personal consumption expenditures growth and real gross private domestic investment growth decreased from 1.7 percent and -13.2 percent, respectively, to 0.8 percent and -15.2 percent, respectively.
The next GDPNow update is Thursday, July 7. Please see the “Release Dates” tab below for a list of upcoming releases.
The GDP shrank by 1.6 percent in the first quarter of 2022.
As we reported previously, the US GDP is on a downturn and has been down with the last all-time high being in October of 2021. That is now more than six months ago.
For the record — Recessions are typically marked by an economy shrinking in back-to-back quarters, measured by gross domestic product.
The numbers reported by the Atlanta Fed will make the second quarter of negative growth.
This means the US is currently in recession — with skyrocketing inflation. Thank you, Joe Biden and Nancy Pelosi!