URGENT: U.S. economy contracts for 2nd straight quarter amid inflation

Politics Economy

The U.S. economy shrank an annualized real 0.9 percent in the April to June period, marking two consecutive quarters of negative growth amid high inflation, Commerce Department data showed Thursday. The contraction of the inflation-adjusted gross domestic product fell below the average market forecast of 0.5 percent growth. The closely watched GDP data was released as the Federal Reserve aggressively raises interest rates despite fears that its actions could tip the world's largest economy into a recession.

Kyodo News

Kyodo News