In a big win for the Trump administration on Friday, the USA economy advanced at its fastest pace since 2014.
The strong second-quarter growth reflected large increases in orders of durable goods, investment in non-residential construction, exports, intellectual property, and government defense spending.
President Trump said Friday that he plans to spends nearly all of his time this fall campaigning for the most vulnerable Republican congressional candidates in the midterm elections, a strategy that would have him in many districts where endangered lawmakers in his own party regard him as a liability. The GDP data showed that business capital spending was weaker than had been expected, with equipment purchases less than half of the first quarter and two-fifths of the average rate in 2017.
"One of the more underreported stories is we now have a trade deficit that dropped by more than $50 billion", said Hannity.
"We saw an enormous surge in soybean exports", Shepherdson said before the report was released. The 4.1 percent growth is the fastest economic growth since 2014, when the economy grew at 4.9 percent in the third quarter of that year.
Trump is joined at the White House by Vice President Mike Pence and several members of his Cabinet.
He pointed to new tax cuts, de-regulation, increased government spending and the continuing trade negotiations.
Trump says on the South Lawn of the White House that the economic numbers are "very sustainable".
The tax cuts benefit ties positively back to President Trump, but the tariffs loom over this economic growth. As businesses and consumers reset on account of lower tax rates, year-over-year spending hikes will dissipate. The last time the economy grew at a higher rate was 5.2 percent in the third quarter of 2014. Trump has said he sees annual growth of 3 per cent or more as sustainable.
"This isn't a one time shot", he said on Friday.
Most economists caution this is likely to be a one-off growth spurt and not a new sustained trend.
The Fed is widely expected to leave its benchmark rate unchanged at its policy meeting next week and then increase it in September by a quarter percentage point to a range between 2 per cent and 2.25 per cent. And economic growth topped 4 percent for three full years from 1998 through 2000, an annual rate it hasn't touched since.
Despite the strong second quarter, the forecast for 2018 remains at 2.8 percent, according to the Federal Reserve's rate-setting body.
There were some signs of softness, however. Inventory investment probably added to output after making no contribution in the first quarter. "Economists say no way", economist Robert Brusca said "No, pigs do not fly". "Next quarter, I think it's going to be outstanding". Skeptics disagree, saying the 4.1 percent number from the second quarter was the result of a combination of factors that won't be repeated.
As well, the data pointed to the pull forward of future sales of goods that were set to be hit by tariffs amid the widening trade dispute between the United States and China, among disputes that Mr Trump has with others. But today's economic data is certainly good, and the president can take some of the credit.
Trump's implementation of the tax overhaul and deregulation also boosted the number, he said. Perversely, so did the threat of various trade rows.