finance
U.S. GDP Grew 2% in Q1 2026, Rebounding From Prior Quarter
America's economy rebounded sharply in the first quarter with 2% growth, driven by federal spending, business investment in artificial intelligence and consumer activity. The expansion exceeded the G7 average of 1.1% and dwarfed results from major European partners still grappling with energy shocks from the war in Iran. Canada posted the second-strongest performance among G7 members at 1.7%.
New York PostAudio version
Tap play to generate a narrated version.
Developing·Limited corroboration so far. This page will refresh as more sources emerge.
U.S. economy expanded at a 2% pace in the first quarter of 2026 compared with the previous quarter, rebounding from lackluster growth at the end of 2025 and outpacing every other member of the Group of Seven bloc, the US Department of Commerce reported. America’s gross domestic product rebounded at a faster rate than all other G7 members in Q1 2026.
48%. 7%, according to the US Department of Commerce.
Business investment in artificial intelligence spurred US business investments in Q1 2026. The US GDP growth in Q1 2026 was spurred by growing federal and private investments. 9% in Q4 2025.
The slowdown in consumer spending came even as the broader economy healed from last fall’s government shutdown. Canada saw an increase in manufacturing, wholesale trade, transportation, and mining and oil and gas extraction in Q1 2026, Statistics Canada said. 5%, according to the Office for National Statistics.
U.S. The EU has been especially hurt in the energy sector due to the war in Iran. The war in Iran has blocked the Strait of Hormuz.
Souring energy prices have affected the world's top economies due to the war in Iran, with inflation in the EU hitting the central bank’s 2% target and adding pressure on finance officials to consider interest rate hikes. While US tech businesses enjoy a boom from artificial intelligence investment, average consumer spending was down in the latest quarter.
Tokyo is expected to see a rougher outcome for the rest of 2026, with the following year expected to see little to no economic growth at all. S.
