Americans ‘ spending on personal consumption will be reduced by almost 60 percent.
US economic activity will decline by more than half in the second quarter.
This is evidenced by monitoring data commissioned by the Federal Reserve Bank of Atlanta.
The GDPNow model shows a 52.8 percent decline after receiving data that US manufacturing is falling steadily, and this will put pressure on investment and consumption.
Data from the Institute for supply management showed that only 43.1 percent of companies saw opportunities to expand in May.
Extrapolating from this data, the Federal Reserve Bank of Atlanta expects personal consumption spending, which accounts for 68 percent of the country’s GDP, to fall by 58.1 percent in the second quarter.