Good evening and welcome to today’s top U.S. breaking news.
The U.S. economy grew at an annualized rate of 1.5% in the second quarter of 2026, according to the latest federal data.
That represents a slowdown from the 2.1% growth recorded in the first quarter.
The latest figure was also weaker than economists had expected, adding to concerns about the pace of economic growth.
Consumer spending, business investment, and exports helped support the economy during the quarter.
However, higher imports and weaker government spending offset part of that growth.
The slowdown comes as businesses and households continue to deal with inflation, trade uncertainty, and higher costs.
AI-related investment remains an important source of strength for parts of the U.S. economy.
But economists are watching closely to see whether that investment can continue supporting broader economic growth.
The latest numbers could also influence expectations surrounding Federal Reserve interest-rate policy.
A weaker economy could increase pressure for policymakers to consider easier financial conditions, although inflation remains an important concern.
For President Donald Trump, the GDP report creates another major test for his economic agenda.
The White House has promoted stronger growth as a key part of its economic vision.
The big question now is whether the slowdown is temporary or the beginning of a longer period of weaker growth.
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