US Economy Grows Solid 2%, Boosted by Surging AI Investment

US economic growth accelerated at the start of the year, bolstered by a massive AI-driven upswing in business investment.

Inflation-adjusted gross domestic product increased an annualized 2% in the first quarter after the longest-ever federal government shutdown limited growth in the closing months of 2025, according to an initial estimate issued Thursday by the Bureau of Economic Analysis.