US Economy Posts Sluggish Q2 Growth Amid Ongoing Inflation Concerns

The US economy expanded at a sluggish 1.5% pace from April through June due to rising imports, according to the Commerce Department's report on Thursday.

This growth rate decelerated from 2.1% in the first three months of 2026 and fell short of economists' expectations.

The Federal Reserve's favored measure of inflation, personal consumption expenditures (PCE) price index, rose 3.7% last month from June 2025 but remained above the central bank's 2% target.