August 27th, 2010
09:02 AM ET
4 years ago

Economy grinds to near halt

New York (CNNMoney.com) - The U.S. economy sputtered to a near stop in the second quarter, according to new estimates from the government released Friday, although the slowdown wasn't as bad as many had feared.

The nation's gross domestic product, the broadest measure on the amount of spending by consumers, businesses and government, was revised sharply lower to an annual growth rate of 1.6% in the three months ending in June. The initial reading had been for a 2.4% growth rate in the period.

The report fed into growing fears that the nation could be at risk of a new economic downturn known as a double-dip recession. While the economy is still growing, growth of less than 2% is considered too weak to prompt businesses to start hiring again.

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Filed under: Economy • issues
soundoff (36 Responses)
  1. Buster

    Yeah, let the demorats run on this accomplishment. Business's will not hire with the pending tax increases, new regulations that inhibit their growth and upcoming costs for the health care deformity voted into law by nobummer and the demorats. Unemployment is climbing, jobs are nowhere to be seen and the constant tax and spend could be a real problem for the demorats. Yep, the demorat reelection platform is quite impressive.

    August 27, 2010 10:26 am at 10:26 am |
  2. obama victim

    so tell me again how great Barry is??

    August 27, 2010 10:29 am at 10:29 am |
  3. beth

    The economic crash we experinced in 2008 was so impressive that there is no way we could be recovering this soon. In fact, we will not see an uptick until the end of Obama's first term. It doesn't matter who is in office, this recession/depression has a life of it's own and is not tied to any political party or leader. We would be in the same situation with either a Republican or Democrat. So stop blaming this on Obama and the Democrats.

    August 27, 2010 10:31 am at 10:31 am |
  4. Jeff from Chicago

    How's that change working for you?

    That car that ran off the road that obama always talks about...
    come to find out that pelosi and reid were at the where since 2007 when it began to drive irratically.

    August 27, 2010 10:33 am at 10:33 am |
  5. Jeff from Chicago

    How's that change working for you?

    That car that ran off the road that obama always talks about...
    come to find out that pelosi and reid were at the wheel since 2007 when it began to drive irratically.

    August 27, 2010 10:33 am at 10:33 am |
  6. Enough Already

    And is anyone suprised since Obummer has done nothing but run it into the dirt? And don't say it's Bush's fault – that worked the first year, and even part of the second, but we're over 18 months and have spent more money than we have and STILL it's not working. Way to go Dumbocraps!

    August 27, 2010 10:39 am at 10:39 am |
  7. TangledThorns

    America elected the wrong person to be president. Look where we are now after all his false hope and rhetoric... We need a leader that will take charge and encourage business confidence.

    August 27, 2010 10:43 am at 10:43 am |
  8. Marie MD

    I 'm not a psychic but I see the future after the elections in November getting brighter. Right now the corporation that runand own the rethugs are holding off employing people. After the elections is their intimates win enough seats the economy will magically get better so that the rethugs can get credit for it.

    August 27, 2010 10:44 am at 10:44 am |
  9. Hugo

    That darned old George Bush!

    August 27, 2010 10:49 am at 10:49 am |
  10. bill486

    "Economy grinds to near halt"....if you want to believe the well-timed "bad economic news" stories that "conveniently" come from right-wing financial sources....a different source every day.

    Conservatives have a vested interest in coaching their business constituents not to hire, even when they show good profits, to keep unemployment high & stall the recovery in the months approaching the elections, but manufacturing is still strong, & the market still rises on days when there's no bad economic news meant to sabotage the recovery.

    This will be a memorable November if republicans can't keep the stock market down these next few months....Republicans will have their heads handed to them by the DEMOCRATS!

    August 27, 2010 10:50 am at 10:50 am |
  11. More change in November (but good change)

    Thanks Clinton, Barney Frank and Chris Dodd, Fannie and Freddie... Oh, and Pelsoi and Reid....

    August 27, 2010 10:54 am at 10:54 am |
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