US Economy Grew 2.2% in Q2 2026, BEA Final Estimate Shows

The U.S. economy expanded at an annual rate of 2.2 percent in the second quarter of 2026, according to the third and final estimate from the Bureau of Economic Analysis released Wednesday. The reading marks a modest deceleration from the first quarter's upwardly revised 2.5 percent growth rate, signaling a still-solid but slightly cooling pace of expansion at the midpoint of the year.

Consumer spending, business investment, and exports were the primary drivers of second-quarter growth, the BEA said. Imports, which are subtracted in GDP calculations, increased during the period — a factor that partially offset gains from the other components. The combination of strong domestic demand alongside rising import volumes reflects an economy where consumers and businesses remain active buyers of both domestic and foreign goods.

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At the state level, economic performance diverged sharply. New York posted the strongest growth among all states, with real GDP climbing 4.0 percent, while West Virginia recorded the steepest contraction, with output falling 2.3 percent. The wide disparity underscores the uneven regional dynamics shaping the broader national picture, with energy-dependent and manufacturing-heavy states potentially facing distinct headwinds compared to finance and services hubs.

The BEA's third estimate also incorporated data on industry-level GDP, corporate profits, state personal income, and state personal consumption expenditures for 2025, providing the most comprehensive snapshot yet of economic conditions across sectors and geographies. Analysts will parse the corporate profits and personal income figures for signals about household financial health and business investment capacity heading into the second half of 2026.

Continue reading at U.S. Bureau of Economic Analysis.