U.S. economic growth in the second quarter is predicted to be far weaker than previously expected and it will prevent the pace of annual growth from exceeding last year's 2.4 percent, according to a forecast by a group of U.S. business economists.
The government's revised estimate for last quarter, released Friday, was weaker than its initial estimate of 0.2-percent growth. The U.S. trade gap was found to be wider than first estimated. And consumer spending was slower than previously thought.
The retail sales report also raises the possibility that nasty winter weather can't entirely explain the recent lackluster consumer spending in prior months, since the anticipated spring rebound has not materialized.