The United States economy shrank at an annual pace of 1% in the April to June quarter.
The data was better than expected, but marked the longest period of decline since records began in 1947.
However, figures issued by the Commerce Department for the January to March quarter were revised down to -6.4%. The previous estimate was -5.5%.
Analysts say the data suggests that the worst could be over for the US economy, which has now been in recession for a year.
The figures show that the pace of contraction is slowing rapidly in the US, even more than it is in Britain.
Federal government expenditures and investment increased 10.9% in the second quarter, in contrast to a decrease of 4.3% in the first.
