The US economy expanded at a 2.8% annualized pace in the second quarter, outpacing Wall Street expectations, according to the Commerce Department. The latest reading points to continued resilience in the world’s largest economy despite persistent concerns about inflation, borrowing costs and uneven growth across sectors.

Strong consumer spending remained a key driver of the expansion, while business investment also helped lift overall output. The figures suggest households and companies kept supporting growth even as higher interest rates continued to weigh on parts of the economy.

The report arrives at a moment when policymakers are watching closely for signs of cooling demand or a broader slowdown. For now, the data indicate the US economy is still managing to grow at a healthy pace, though analysts will be looking for signs of whether that momentum can last through the rest of the year.