UK Q2 GDP to come in unchanged at 0.2% - HSBC
|Analysts at HSBC provide a sneak peek into what to expect from the upcoming UK Q2 advance GDP figures, which will be reported at 0830GMT.
Key Quotes:
“UK service sector growth made a reasonable start to the second quarter, rising 0.2% m-o-m in April, but we expect this to have tailed off in May, largely on the back of weak retail sales in that month: volumes fell by over 1% m-o-m, as falling real incomes started to hit home.
The services PMI survey also fell two points in May, supporting a weaker forecast for the month. UK Q1 real GDP growth was confirmed at 0.2% in the final reading.
While the strong PMIs in April had initially suggested a good bounce in growth in the second quarter, the data since then have not backed this up.
We expect a better quarter for services, but a q-o-q fall for both industrial production and construction. On this basis, we now expect Q2 growth to come in unchanged at 0.2%.”
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.