Federal Reserve Boosts GDP Growth Estimate

The growth projection for real gross domestic product (GDP) in the second quarter of 2025 has been revised upward by the Federal Reserve Bank of Atlanta.

The Atlanta Fed’s GDPNow model now forecasts a 4.6% increase in U.S. real GDP for the second quarter, which is a jump from the previous estimate of 3.8% made on May 30.

This model serves as an unofficial prediction, reflecting methods comparable to those used by the U.S. Bureau of Economic Analysis (BEA), as stated by the Atlanta Fed.

Additionally, the latest estimate comes on the heels of a reported increase in U.S. consumer confidence, which rose by 12.3 points in May—the first uptick in five months, according to the Conference Board. In April, the economy added 177,000 jobs, exceeding economists’ expectations.

Recent polling indicates that many Americans feel optimistic about the economy under President Donald Trump’s administration. A Harvard CAPS/Harris poll from May found that 51% of voters perceive the economy as “strong.”

Looking ahead, Trump has pledged to implement economic policies aimed at enhancing the U.S. economy, expressing his commitment to “rebuild the economy and restore national and economic security.”