Economic Growth in Second Quarter Revised Down

Washington, DC, Aug. 27, 2010-- Economic slowed to 1.6% in the second quarter, the Commerce Department said Friday, and the downward revision was less than expected.

The $14.58 trillion economy for now is being led by business investment.

Gross domestic product slowed from the 3.7% annualized pace in the first quarter, the Commerce Department's data showed.

Final sales to domestic purchasers -- which include consumers, businesses and the government -- rose 4.3%.

The sharply downward second quarter GDP revision from the 2.4% growth initially estimate was largely expected after the release of June inventories and imports reports, which were not available for the first estimate released on July 30.

Economists had expected an even worse figure showing of 1.3% growth in the second quarter.