ABA Banking Journal
No Result
View All Result
  • Topics
    • Ag Banking
    • Commercial Lending
    • Community Banking
    • Compliance and Risk
    • Cybersecurity
    • Economy
    • Human Resources
    • Insurance
    • Legal
    • Mortgage
    • Mutual Funds
    • Payments
    • Policy
    • Retail and Marketing
    • Tax and Accounting
    • Technology
    • Wealth Management
  • Newsbytes
  • Podcasts
  • Magazine
    • Subscribe
    • Advertise
    • Magazine Archive
    • Newsletter Archive
    • Podcast Archive
    • Sponsored Content Archive
SUBSCRIBE
ABA Banking Journal
  • Topics
    • Ag Banking
    • Commercial Lending
    • Community Banking
    • Compliance and Risk
    • Cybersecurity
    • Economy
    • Human Resources
    • Insurance
    • Legal
    • Mortgage
    • Mutual Funds
    • Payments
    • Policy
    • Retail and Marketing
    • Tax and Accounting
    • Technology
    • Wealth Management
  • Newsbytes
  • Podcasts
  • Magazine
    • Subscribe
    • Advertise
    • Magazine Archive
    • Newsletter Archive
    • Podcast Archive
    • Sponsored Content Archive
No Result
View All Result
No Result
View All Result
Home Economy

Second quarter 2025 GDP (advanced estimate) increased 3%

July 30, 2025
Reading Time: 2 mins read
ABA Data Bank: U.S. economic growth slower than initially thought

Real gross domestic product (GDP) increased at an annual rate of 3.0% in the second quarter of 2025, according to the advanced estimate released by the U.S. Bureau of Economic Analysis. In the first quarter, real GDP decreased 0.5%

The increase in real GDP in the second quarter primarily reflected a decrease in imports, which are a subtraction in the calculation of GDP, and an increase in consumer spending. These movements were partly offset by decreases in investment and exports.

Personal consumption added 0.98 percentage points (pp) to growth, following a 0.31 pp addition in the first quarter of 2025. The increase in PCE was driven by services (0.53 pp) such as those in household consumption expenditure: healthcare (0.35 pp), food services (0.16 pp), and financial services and insurance (0.11 pp). Goods added (0.46 pp) to real GDP, with durable goods adding (0.27 pp) driven by motor vehicles and parts adding (0.38 pp). Nondurable goods added (0.18 pp) with food & beverages purchased for off-premises consumption (0.01 pp) and clothing and footwear (0.08 pp).

Business investment subtracted -3.09 pp to real GDP. Non-residential fixed investment added 0.27 pp, with structures subtracting 0.33 pp. Equipment and transportation equipment added 0.26 pp and 0.14 pp, respectively. Information processing equipment added 0.11 pp, and other equipment subtracted 0.04 pp. Residential fixed investment subtracted 0.19 pp.

Government spending added 0.08 pp to real GDP. The Federal government subtracted 0.24 pp to real GDP while state and local added 0.32 pp.

Net exports had a significant effect on real GDP, adding 4.99 pp to growth. Exports subtracted

-0.19 pp after adding 0.04 pp in the first quarter of 2025, while imports added 5.18 pp to real GDP after subtracting -4.66 in the first quarter of 2025.

 

Read the BEA release.

Tags: GDP
ShareTweetPin

Related Posts

Consumers Remain Resilient as the Economy Rebounds

ABA DataBank: Retail sales surge in May

Economy
June 17, 2026

Even though U.S. consumers still face the challenge of elevated inflation, their robust spending should help support the overall economy and loan demand.

FHFA to create affordable housing advisory committee

Senate, House committee leaders reach agreement on housing bill

Community Banking
June 16, 2026

The leaders of the House and Senate banking committees announced they had reached an agreement on a bipartisan housing bill that includes several provisions related to banking, from brokered deposits to de novo bank formation.

OCC revises how it designates minority depository institutions

OCC revises how it designates minority depository institutions

Community Banking
June 16, 2026

The OCC has amended the criteria it uses to designate financial institutions as minority depository institutions, including the removal of policy language that the agency said allowed it to continue MDI designation “when the bank no longer met...

FDIC delays deadline for compliance with new signage requirements

Government watchdog agency suggests changes to FDIC supervision, HUD disaster recovery

Compliance and Risk
June 16, 2026

The FDIC should take further steps to strengthen its bank supervision, and HUD should take steps to mitigate fraud in federal disaster recovery and improve manufactured housing financing, the Government Accountability Office concluded in separate reports.

ABA, associations: FHFA pushing Federal Home Loan Banks away from providing liquidity

FHFA gives annual update on FHLBs, Fannie Mae, Freddie Mac

Mortgage
June 16, 2026

The 11 Federal Home Loan Banks were all profitable in 2025, and their retained earnings balance of $32.7 billion was the largest on record, the Federal Housing Finance Agency said in its annual report to Congress.

OCC sees need for regulatory reform in bank merger process

Bank acquisitions announced in Oklahoma, Michigan

Community Banking
June 16, 2026

BancFirst in Oklahoma City has agreed to buy Spirit BankCorp. in Tulsa, Oklahoma. Isabella Bank in Mt. Pleasant, Michigan, has agreed to buy Grand River Commerce in Grandville, Michigan.

NEWSBYTES

ABA DataBank: Retail sales surge in May

June 17, 2026

Senate, House committee leaders reach agreement on housing bill

June 16, 2026

OCC revises how it designates minority depository institutions

June 16, 2026

SPONSORED CONTENT

Why Your Systems Keep Slowing Down — and What to Do About It

Examiners Are Now Looking at Your Non-Core Systems

June 11, 2026
Your Floorplan Audit and Your Credit Decision Are Weeks Apart. That Gap Has a Price.

Your Floorplan Audit and Your Credit Decision Are Weeks Apart. That Gap Has a Price.

June 1, 2026
A Modern Blueprint for Serving High-Net-Worth Families

A Modern Blueprint for Serving High-Net-Worth Families

May 28, 2026
Why Your Systems Keep Slowing Down — and What to Do About It

AI Is in Your Bank. Is Your Cloud Contract Governing It?

May 20, 2026

PODCASTS

Podcast: Understanding bank regulators’ guidance on illegal immigration

June 11, 2026

Podcast: Creating a feeling of welcome, for customers and new bankers

May 28, 2026

Podcast: How consumer deposits drive full relationship banking

May 14, 2026

American Bankers Association
1333 New Hampshire Ave NW
Washington, DC 20036
1-800-BANKERS (800-226-5377)
www.aba.com
About ABA
Privacy Policy
Contact ABA

ABA Banking Journal
About ABA Banking Journal
Media Kit
Advertising
Subscribe

© 2026 American Bankers Association. All rights reserved.

No Result
View All Result
  • Topics
    • Ag Banking
    • Commercial Lending
    • Community Banking
    • Compliance and Risk
    • Cybersecurity
    • Economy
    • Human Resources
    • Insurance
    • Legal
    • Mortgage
    • Mutual Funds
    • Payments
    • Policy
    • Retail and Marketing
    • Tax and Accounting
    • Technology
    • Wealth Management
  • Newsbytes
  • Podcasts
  • Magazine
    • Subscribe
    • Advertise
    • Magazine Archive
    • Newsletter Archive
    • Podcast Archive
    • Sponsored Content Archive

© 2026 American Bankers Association. All rights reserved.