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U.S. GDP on course for weakest quarter since 2015

Data: Federal Reserve Bank of Atlanta; Chart: Harry Stevens/Axios

U.S. GDP growth in the second quarter is expected to come in significantly below first quarter growth, as the impact of the Tax Cut and Jobs Act fades.

The big picture: It would be the weakest quarter of U.S. growth since Q4 2015.

  • This year's Q2 growth is also expected to show far less inventory investment than Q1, which got a boost of 0.65% from a $46.3 billion inventory buildup by U.S. firms. Government spending was seen as slower in Q2.
  • Last year's second quarter also showed significant growth, rising 4.2% year-over-year, which was the strongest quarter in nearly 4 years.

Go deeper: The global push to reinvent GDP