Slowing Economy Showing Pockets of Strength

Washington, DC, Aug. 2, 2010--Although the economy appears to be growing more slowly, manufacturing and business spending continue to be significant pockets of strength.

Business spending on equipment and software rose by 22%, the fastest pace in a dozen years, according to Dave Huether, chief economist for the National Association of Manufacturers.

In his latest report, he also noted that exports grew by a strong 10% in the second quarter, marking the fourth consecutive double-digit increase, the first time that's happened in more than 20 years.

"This is very good news for manufacturers," Huether said.

GDP grew in line with expectations, marking the fourth consecutive quarter of growth.

"The deceleration in the second quarter was due to several factors," Huether said.

"Consumer spending was sluggish, which reflected, in part, the weakness in the labor market. In addition, inventory restocking moderated."