The U.S. economy grew at an annualized rate of 2.8% in the second quarter, surpassing economists’ expectations of 2% and improving from the first quarter’s revised 1.4% growth.

This stronger-than-anticipated performance, coupled with easing inflation, suggests a robust economic outlook for the period. However, economists like Oren Klachkin of Nationwide predict this may be the best quarter of the year, with future growth likely to cool as consumer spending and business investments slow.

The data has prompted speculation on when the Federal Reserve might start cutting interest rates, with markets anticipating a possible rate cut by the end of September.