US Economy's Second Quarter Growth Revised Down to 2.1%

The US economy grew at a slightly slower pace in the second quarter than previously estimated, with gross domestic product (GDP) rising at an annualized rate of 2.1%, according to the Commerce Department's second estimate. The revision is seen as a positive sign for the Federal Reserve, which is aiming to cool demand and bring down price increases. While consumer spending and government outlays were revised higher, business investment and inventories were revised lower. The Fed has raised interest rates and warned of further tightening if the economy doesn't slow.