Does the Economy Still Have a Pulse?

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The U.S. Commerce Department  released a report on Friday that shows the economy grew much slower than expected in the second quarter.

Economists said the current quarter isn't much better.

Financial analysts explained the slow growth doesn't feel much like a recovery -- and won't lead to more hiring.

"I wish I could say it's right around the corner but this will be a unique and painful recovery," said Julia Coronado, senior economist of BNP Bank.

CBN News Washington Correspondent John Jessup has more analysis on the recent economic report.  Click play for his comments.

The Commerce Department report showed second quarter growth at 1.6 percent. That's down from an initial estimate of 2.4 percent last month and much slower than the first quarter's 3.7 percent pace.

The current quarter doesn't look much better. Economists are forecasting growth of only 1.7 percent.

The top Republican in the U.S. House of Representatives has called on President Barack Obama to fire his entire economic team.

"Listen, this cannot continue," said House Minority Leader John Boehner, R-Ohio. "I've had enough."

On Friday, lawmakers and Wall Street will be closely watching a major address by Ben Bernanke, the chairman of the Federal Reserve.

Analysts said Bernanke needs to boost confidence in the stalled economy. He's up against not only the latest commerce numbers, but a tough housing market and a 9.5 percent unemployment rate that could rise.

Bernanke is expected to offer his outlook on the economy and explain what the Fed plans to do to halt the slide.

Meanwhile, in the oil-ravaged Gulf of Mexico, Northrup Grumman has announced it is laying off nearly 300 shipbuilding workers with plans for more layoffs by the end of the year.

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Heather Sells

Heather Sells

CBN News Reporter

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