The first estimate for Q1 2026 GDP shows the U.S. economy grew at an annualized rate of 2%, up from 0.5% in Q4, when a government shutdown weighed on activity late in the year. Growth in the first quarter was driven in part by AI-related investment and the rebound in government spending, while higher imports partially offset those gains.
Initial jobless claims fell by 26,000 to 189,000, and continuing claims declined by 23,000 to 1.785 million. Persistently low initial claims may suggest some unemployed workers are turning to gig work, which isn’t fully captured in these figures.