Business gross fixed capital formation decreased 2.0 percent, the second consecutive quarterly decline. Lower business investment in non-residential structures and machinery and equipment (-3.1 percent) were the main contributors to the decline. Other factors contributing to the decrease included a 4.1 percent decline in new housing construction and a 33.2 percent drop in business outlays on mineral exploration and evaluation.
Household final consumption expenditure rose 0.6 percent, following a 0.1 percent gain in the first quarter. Increased spending on durable goods and semi-durable goods more than offset decreased spending on non-durable goods. Outlays on services were up 0.8 percent.
Inventory accumulation slowed in the second quarter as businesses added $7.1 billion worth of goods to inventories, down from the $12.1 billion added in the first quarter.
Final domestic demand was flat after declining 0.5 percent in the first quarter.
Exports of goods and services edged up 0.1 percent after decreasing 0.3 percent in the first quarter. Exports of goods were 0.2 percent higher while services fell 0.3 percent. Imports of goods and services were down 0.4 percent.
Expressed at an annualized rate, real GDP contracted 0.5 percent in the second quarter and 0.8 percent in the first quarter.