Stronger GDP also means the Federal Reserve will be under less pressure to lower rates aggressively.

Growth was revised up to 3.8% in the period from April through to June - up from the previous estimate of 3.3%.

The U.S. Gross Domestic Product for the second quarter of 2025 was revised upward to a 3.8% increase, said a report from the Bureau of Economic Analysis.

“We agree that the economy is strong and growing," says Northlight's Chris Zaccarelli, "but a lot of that good news is already priced in — and then some."

Stronger GDP also means the Federal Reserve will be under less pressure to lower rates aggressively.