Real gross domestic product increased at an annual rate of 2.1% in the second quarter of 2023, according to the “second” estimate released by the Bureau of Economic Analysis. For the first estimate, released at the end of July, the rate was 2.4%.

In the first quarter, real GDP increased 2.0%, the BEA said.

The GDP estimate released Aug. 30 is based on more complete source data than were available for the “advance” estimate issued last month, according to the BEA. The updated estimates primarily reflected downward revisions to private inventory investment and nonresidential fixed investment that were partly offset by an upward revision to state and local government spending.

“The increase in real GDP reflected increases in consumer spending, nonresidential fixed investment, state and local government spending, and federal government spending that were partly offset by decreases in exports, residential fixed investment, and private inventory investment,” the bureau said in a news release. “Imports, which are a subtraction in the calculation of GDP, decreased.”

The acceleration in real GDP in 2Q 2023 reflected a smaller decrease in private inventory investment and an acceleration in nonresidential fixed investment. These movements were partly offset by a downturn in exports, and decelerations in consumer spending and federal government spending, the bureau said.

Current‑dollar GDP increased 4.1% at an annual rate, or $268.6 billion, in the second quarter to a level of $26.80 trillion, a downward revision of $36.3 billion from the previous estimate.

The price index for gross domestic purchases increased 1.7% in 2Q 2023, a downward revision of 0.2 percentage point from the previous estimate. The PCE price index increased 2.5%, a downward revision of 0.1 percentage point. Excluding food and energy prices, the PCE price index increased 3.7%, a downward revision of 0.1 percentage point.

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