Details form the Q2 2016 UK GDP final revision data report 30 September 2016

  • Prior revision 0.6%. Q1 0.4%

  • 2.1% vs 2.2% exp y/y. Prior rev 2.2% revised to 1.9% Q1 2.0%
  • Business investment 1.0% vs 0.5% exp q/q. Prior rev 0.5%. Q1 -0.6%
  • -0.8% vs -0.8% exp y/y. Q1 -0.8%
  • Exports -1.0% vs 0.1% prior rev. Q1 0.4%
  • Imports 1.3% vs 1.0% prior rev. Q1 0.1%
  • Q2 current account bal -28.68bn vs -30.50bn exp. Prior -32.59bn

  • July index of services 0.4% vs 0.1% exp m/m. Prior 0.2%. Revised to 0.3%

  • 0.6% vs 0.3% exp 3m/3m. Prior 0.5%. Revised to 0.6%

A nice way to end Q2 with that tick up in growth. The year on year drop takes some of that cheer away.

Looking into the details, household disposable income was disappointing at 2.9% vs 4.3% in Q1 and the savings ratio was the lowest since Q3 2008 at 5.1% vs 5.6% in Q1.

Despite the lower household disposable income, employee compensation rose to 1.9% from 1.6% prior.

As we're just about to close out Q3, this data isn't massive for the market. GBPUSD could only manage a tepid move to 1.2992 from around 1.2950.

UK GDP y/y