New Zealand Q1 GDP growth likely remained robust at 0.8% q/q

Statistics New Zealand is scheduled to release Q1-2015 GDP data on 18 June. GDP growth is expected to have remained robust at 3.3% y/y (0.8% q/q), slightly slower than the 3.5% y/y growth in Q4-2014. 

A further drop in dairy prices likely affected GDP growth. However, this impact is expected to be offset by a less severe drought than expected and continued strength in the construction sector. 

It is believed that construction activity, particularly in Auckland, remained strong and continued its robust contribution to growth. Dairy exports, which comprise c.5% of GDP, likely declined mildly from Q4, while consumption rose 3.5% y/y.