Australia's Gross Domestic Product beats and Aussie prints fresh highs
|Australia's Gross Domestic Product has arrived, beating expectations and has propelled the Aussie to a fresh rally high.
The data has arrived as follows:
- Australia Q3 real GDP +3.3 pct QoQ, s/adj (Reuters poll +2.6 pct).
- Australia Q3 real GDP -3.8 pct YoY, s/adj (Reuters poll -4.4 pct).
- Australia Q3 final consumption expenditure +5.9 pct, s/adj.
- Australia Q3 gross fixed capital expenditure -0.1 pct, s/adj.
- Australia Q3 chain price index -0.1 pct.
AUD/USD has popped to fresh highs on the data, currently printing 0.7389.
Meanwhile, this rebound from the economic recession confirmed in today's data will be compared to the rhetoric of the RBA's governor Phillip Lowe who is speaking before the Parliament Economic Committee at time moment.
Markets are keen to know if there is going to be a shift away from its relaxed stance on the relatively strong AUD.
In the main, more easing (and especially negative rates) looks quite unlikely, which has underpinned the currency to date.
RBA's Lowe: Prepared to do more if it is required
Description of Gross Domestic Product
The Gross Domestic Product released by the Australian Bureau of Statistics is a measure of the total value of all goods and services produced by Australia. The GDP is considered as a broad measure of economic activity and health. A rising trend has a positive effect on the AUD, while a falling trend is seen as negative (or bearish) for the AUD.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.