Summary

• Real GDP rose at 2.0% annual rate in Q1, falling short of the 2.2% forecast but marking an acceleration from the 0.5% final estimate seen in Q4 of last year.
• The contributors to the increase in real GDP in the first quarter were investment, exports, consumer spending, and government spending.
• The current year-over-year rate for real GDP is at 2.66%, which is at or below 6 of the 12 recession starts during this time frame.

By Jennifer Nash

U.S. economic growth rebounded at the beginning of 2026, according to the BEA’s latest estimate. Real GDP rose at a 2.0% annual rate in Q1, falling short of the 2.2% forecast but marking an acceleration from the

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