The U.S. economy grew 3% in the second quarter, beating expectations and rebounding from a 0.5% decline in Q1.

The growth was driven by a sharp drop in imports and stronger consumer spending, despite ongoing trade tensions and high tariffs.

Consumer spending rose 1.4%, and inflation showed signs of easing.

However, some underlying indicators, like private domestic sales and residential investment, pointed to a possible slowdown, CNBC has reported.

President Trump hailed the report and renewed calls for the Federal Reserve to cut interest rates, which remain at 4.25%–4.5%.

Written by B.C. Begley