Aug 29 – Economic Events Outlook – GDP Figures in Focus!
Arslan Butt • 2 min read
So far this week has remained pretty boring in the absence of economic events and thin trading volume because of the summer holiday. However, the markets can show some action on the release of Prelim GDP figures from the United States.
The dollar finally gained support after a strong consumer confidence data and higher US bond yields. The index improved from an upgraded 127.9 figure in July to 133.4 in August rather than dipping to the projected 126.6 reading.
As the headline says, investors are looking up for Prelim GDP q/q from the United States. Let’s dig deeper into the market expectations…
Watchlist – Key Economic Events Today
USD – Prelim GDP q/q
Evoking the preliminary GDP for Q2 2018, the economy stalled to an annualized growth rate of 2.2%. A decline in economic activity is quite common yet the US growth rate is above than the GDP of the Eurozone and the UK.
Today, economists are pretty optimistic about the US economy and are forecasting a rise of Prelim GDP to 4%. The US dollar is likely to stay supported over this release as the investors are pricing in the better economic growth expectations.
CAD – Current Account
It’s also one of the important indicators and typically causes 50+ pips movement in the market. The Statistics Canada will be releasing the numbers at 13:30 (GMT). Newbies, it’s a difference in value between imported and exported goods, services, income flows, and unilateral transfers during the previous quarter. As per economists’ forecast, Canada’s trade deficit is likely to shorten from -19.5B to -15.3B.
USD – Crude Oil Inventories
The EIA (Energy Information Administration) is due to release the inventories report at 15:30 (GMT) with a forecast of -0.7M draw vs. -5.8M draw during the previous week. This figure shows a change in the number of barrels of crude oil held in inventory by commercial firms during the past week.
Stay tuned to our economic calendar for a live coverage by professional analysts. Good luck!