Several forecasting experts suggest that the American economy could reach 5% growth during the period from April to June or possibly breaking its highest bar in the past 15 years. Some Wall Street companies increased their forecasts for Q2 following the unexpected decline in the U.S. trade deficit in May. More importantly, Macroeconomic Advisers also lifted their estimates from 4.5% to 5.3% for the gross domestic product (GDP) according to the official scorecard for the US economy. Meanwhile, the assessment of Atlanta Federal Reserve’s GDP tracker showed an expansion of 4.5% annual percentage rate in the second quarter. The best economic performance for a single quarter since after the recession was recorded during 2014 of autumn as the GDP jumped to 5.2%. Prior that surge, the last quarterly GDP gained 5% in 2003. Some questioned the sudden economic growth of the United States, thanks to the consumer expenditure that rebounded after the modest increase buoyed by tax reductions and stable labor market, which offers plenty of jobs. On the other hand, the business investment also showed a strong stance but the US trade deficit came in lower than the expected results. The nation is expecting to escalate this year, however, economists lack confidence that the US strength will last. Most of the experts project that GDP will weaken in 2019 and 2020 because of the effects of the tax cuts and the expansion in government spending was short-lived.
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