Grocery spending sees record drop, dining out remains strong
The U.S. economy contracted in the second quarter as real GDP recorded a negative 0.9 percent a big downward surprise and marking the second quarter of decline. The big drag came from inventories which subtracted 2 percentage points from growth. Trade was a major positive in the second quarter adding 1.4 percentage points to growth in the quarter. Consumer spending rose 1 percent adjusted for inflation and added 0.7 percentage points to growth. Whether the U.S. economy is in a recession is determined by the National Bureau of Economic Research and this group is not very timely with its decisions on when a recession begins and ends. Currently none of the key economic indicators point to a definitive recession already in place.