Overview:  GDP grew at an annual rate of 1.3% in the 2^nd quarter of 2011.  New home sales declined 1.0% in June.  Durable orders fell 2.1% in June.  Initial jobless claims fell 24,000 to a level of 398,000 for the week ended 7/23.

• GDP grew at a real, annual rate of 1.3% in the 2^nd quarter of 2011, according to the advance estimate.  This was lower than the 2.0% growth rate projected by the Blue Chip Consensus.  A sharp decline in consumer spending was responsible for the lower than expected growth. 

As part of the annual revisions to GDP, 1^st quarter GDP for 2011 was revised downwards to a scant 0.4% (from a previously reported 1.9%) and 4^th quarter GDP for 2010 was revised downwards to 2.3% (from a previously reported 3.1%).

• New home sales edged down 1.0% in June to an annual pace of 312,000 units.  
• Durable orders fell 2.1% in June, driven largely by a decline in aircraft orders.  Excluding transportation, orders edged up 0.1%.
• Initial jobless claims fell 24,000 to 398,000 for the week ended July 23^rd.