Fed releases bleak 2Q figures, predicts struggles ahead

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The U.S. economy has taken the biggest hit in 50 years, shrinking by nearly 33%, according to a report from the Associated Press. The grim picture is punctuated by a record-shattering plunge last quarter that is struggling to rebound amid further coronavirus-related layoffs.

The economy shrank by 32.9% in the April through June period when shutdowns forced tens of millions of workers out of their jobs; a renewed wave of more recent business shutdowns has again surged unemployment to nearly 15%.

The government’s estimate of gross domestic product for the second quarter was the biggest drop since 1947.

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