What recession? Latest GDP data shows economy is holding firm

Economic growth accelerated in the second quarter of the year, adding to evidence that the U.S. may avoid a recession even as interest rates rise to a two-decade high.

The nation's economic output grew at a 2.4% annual rate in the three months ending in June, the Commerce Department reported on Thursday. That's a jump from the 2% growth rate seen in the January-March quarter.

Consumer spending slowed to a 1.6% annual rate, from 4.2% in the first quarter of the year, a likely consequence of higher borrowing costs. But business investment and state and local government spending grew faster.