I was asleep when the rumor of a lower GDP of 1.8% went around the floor. It shorted the USD and GBPUSD went up from 1.8880s to 1.8920s.
If my experience serves me right, this GDP report is an "initial" report covering July, August and September data..? If so this will cause volatility like it did last July's GDP report.
Let me analyze the pieces of the puzzle looking at some data:
Retail Sales (said to be 70% of GDP)
Jul 1.4
Aug 0.2
Sep -0.4
Durable Goods
Jul: -2.4
Aug -0.5
Sep 7.8 (large boeing order)
CPI
Jul 0.2
Aug 0.2
Sep 0.2
Housing Data is a little skewed. Home sales may be a little up but the price is down.
Seems like GDP is indeed falling.
If my experience serves me right, this GDP report is an "initial" report covering July, August and September data..? If so this will cause volatility like it did last July's GDP report.
Let me analyze the pieces of the puzzle looking at some data:
Retail Sales (said to be 70% of GDP)
Jul 1.4
Aug 0.2
Sep -0.4
Durable Goods
Jul: -2.4
Aug -0.5
Sep 7.8 (large boeing order)
CPI
Jul 0.2
Aug 0.2
Sep 0.2
Housing Data is a little skewed. Home sales may be a little up but the price is down.
Seems like GDP is indeed falling.