NZ GDP sa (QoQ) Q3: 14.0% (exp 12.9%; prev -12.2%)

Ross J Burland FXStreet

New Zealand's Gross Domestic Product SA (Q/Q) for the third quarter (qtr) arrived as 14.0% (exp 12.9%; prev -12.2%) - GDP (YoY) Q3: 0.4% (exp -1.8%; prev -12.4%).

Key figures

NZ Q3 s/adj production based GDP +14.0 pct on pvs quarter (Reuters poll +13.5 pct).
NZ Q3 s/adj production based GDP+0.4 pct on same qtr year ago (Reuters poll -1.3 pct).
NZ annual average prod-based GDP -2.2 pct in third qtr vs year ago (Reuters poll -3.0 pct).
NZ Q3 s/adj expenditure-based GDP +15.6 pct on pvs quarter (Reuters poll +12.5 pct).

The release has highlighted less clawback in activity than what was expected following the very severe 2Q slump.

This data will have embedded the expectations that the Reserve Bank of New Zealand will be in no hurry to cut-rate again.

However, the bullish impact on NZD may be fairly short-lived considering its lofty heights.

NZD/USD technical analysis

NZD/USD Price Analysis: Bears waiting for confirmation of institutional profit-taking

Weekly chart

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

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