- Prelim prior 3.5%
- GDP sales 4.1% vs 2.5% exp. Prior 4.2%
- Consumer spending 2.2% vs 1.8% prior
- GDP price deflator 1.4% vs 1.3% exp. Prior 1.3%
- Core PCE prices 1.4% vs 1.4% prior
- PCE 1.3% vs 1.2% prior
- Corporate profits +3.2% vs 8.6% in Q2
- Exports 4.9% vs 7.8% 1st read
- Imports -0.7% vs -1.7% 1st read
Off the bat a very good revision and that’s given the buck a boost. USD/JPY up to 118.28 from 118.05
Taking some of the shine off is the export data and a $16bn jump in inventories has shaved 0.12 points from GDP
US Q3 2014 GDP 2nd read details 25 11 2014
We’ve even managed to see an increase in the durable goods numbers which have helped consumer consumption rise and we’ll want to see that sustained to maintain the domestic side of the recovery. Looking at the export/import numbers the economy could well be seeing higher domestic effects than international trade effects. A perfect world would be growth in both, but with the global picture not exactly rosy at the moment, the yanks will take what they can get wherever it comes from.
US Q3 2014 GDP 2nd read qq 25 11 2014
EUR/USD had a little dive to 1.2402 but has since recovered to 1.2420. Let’s see what the second wind brings to the dollar after the number crunchers have been over the data.