U.S. Q2 GDP Finalized at Robust 3.8% Following Third Upward Revision

Washington D.C. – The U.S. economy demonstrated stronger performance than initially estimated for the second quarter of 2025, with real Gross Domestic Product (GDP) increasing at an annual rate of 3.8 percent. This figure, released by the U.S. Bureau of Economic Analysis (BEA) on September 25, marks the third and final upward revision for the April-June period, significantly higher than the advance estimate of 3.0 percent and the second estimate of 3.3 percent. The revised data indicates a notable rebound from the first quarter of 2025, which saw a 0.6 percent decrease in real GDP.

The substantial increase in second-quarter GDP was primarily driven by a decrease in imports, which contributes positively to the GDP calculation, and a robust rise in consumer spending. These positive movements were partially offset by declines in both investment and exports during the same period. The upward adjustment from the second to the third estimate largely stemmed from a further upward revision to consumer spending, highlighting its resilience.

The unexpected strength of the economic data has drawn attention from financial commentators. As noted in a tweet by Benny Johnson, even CNBC acknowledged the surprise, stating, > "Third time around the block in Q2 and we see a a solid revision. 3.8%. I’m a bit shocked, to be honest." This sentiment underscores the market's reaction to the unexpectedly positive economic indicators.

Consumer spending, a critical component of economic growth, increased at an annual rate of 2.5 percent in the second quarter. This sustained consumer activity, coupled with other factors, suggests a healthier economic landscape than previously perceived, despite earlier concerns about potential headwinds. The final revision provides a clearer picture of the nation's economic trajectory in mid-2025.