WASHINGTON, May 19 (Reuters) - The U.S. economy should bounce back sharply in the third quarter after its deep coronavirus-related collapse, but it will not fully retake its lost ground until sometime after next year, the non-partisan Congressional Budget Office said on Tuesday.
In an updated economic forecast, the CBO projected the economy would contract at a 37.7% annual rate in the second quarter, but expand at 21.5% pace in the July-September period.
Even so, the level of U.S. Gross Domestic Product will not return to the heights enjoyed at the start of this year within the forecast period that runs through the end of 2021, the agency predicted. (Reporting by Tim Ahmann; Editing by Sandra Maler)