In a recent update, the Federal Reserve Bank of Atlanta's GDPNow model has adjusted its forecast on the U.S. economic growth rate for the third quarter of 2025. The latest data reveals a projected growth of 2.3%, marking a decline from the 2.9% growth recorded in the second quarter. This change was made public on July 31, 2025, reflecting shifts in the economic landscape.
The lowering of the GDPNow forecast indicates a moderation in economic momentum, as various sectors are impacted by ongoing domestic and global economic challenges. With such changes, businesses and investors might need to recalibrate their expectations and strategies moving forward, as the U.S. economy navigates through these adjustments.
The GDPNow model is closely monitored, as it provides near real-time updates and insights into the gross domestic product (GDP) growth rate, offering policymakers, analysts, and market participants a timely gauge on the economic pulse of the nation. The decrease in the GDP growth estimate places attention on factors affecting productivity and demand, inviting discussions on possible fiscal or monetary interventions to bolster economic health.
