US GDP - 2024-07-24

Q2 real GDP growth at 2.8% SAAR blows by the consensus for 2.0%, and the Fed's fantasy that the economy is only capable of 1.8%. But it confirms our vision of a post-pandemic productivity-led boom. Fun detail: the price index for gross domestic purchases rose at a near-target 2.30%, down from 3.10% in Q1, when growth was slower. So much for another Fed fantasy: that growth causes inflation.