Menu

Search

  |   Commentary

Menu

  |   Commentary

Search

USD holds gains on GDP

Large revisions to the US GDP series saw some mixed interpretation and choppy price action in markets. After the dust settled though, the net interpretation was modestly more optimistic, and USD is generally outperforming as a result.

There were significant historical revisions to the GDP series, so while the headline print for Q2 was a slight miss at 2.3%q/q ann. (est. 2.5%), the upward revisions to recent quarters were taken as offsetting, even though nominal growth for the entire series was reduced slightly. Overall, the report was quite mixed, but not too far off of expectations. 

The positive slant on the report is that recent quarter growth was revised higher, with Q1 up to 0.6% (from -0.2%), and growth for 2014 as a whole lifted to 2.7% from 2.5%. There was an important revision to the composition of growth over the past four quarters-particularly for consumption. Spending is now shown as growing at 3.4% vs 3.1% on average. Inflation-wise, it's also notable that core PCE was stronger than expected.

"With US equities up 2.2% MTD, our model suggests selling USD against GBP, AUD, CAD, and NOK at the overnight NY close," notes RBC Capital Markets.

  • ET PRO
  • Market Data

Market-moving news and views, 24 hours a day >

2018-09-20 07:04:18
0m
2018-09-20 07:02:01
0m

September 20 07:00 UTC Released

TRConsumer Confidence

Actual

59.3 %

Forecast

Previous

68.3 %

September 20 07:00 UTC Released

HUGross Wages YY

Actual

12.8 0

Forecast

Previous

11.2 0

January 31 00:00 UTC 334522334522m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 31 00:00 UTC 334522334522m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 22 19:00 UTC 346342346342m

ARTrade Balance

Actual

Forecast

Previous

-1541 %

January 31 00:00 UTC 334522334522m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 22 19:00 UTC 346342346342m

ARTrade Balance

Actual

Forecast

Previous

-1541 %

January 31 00:00 UTC 334522334522m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 31 00:00 UTC 334522334522m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

January 31 00:00 UTC 334522334522m

ARAnnual Primary Balance*

Actual

Forecast

2016 bln ARS

Previous

Bln AR bln ARS

Close

Welcome to EconoTimes

Sign up for daily updates for the most important
stories unfolding in the global economy.