US: Growth expected to remain modestly above the longer term trend - NAB

Sandeep Kanihama FXStreet Contributor

Tony Kelly, Senior Economist at NAB, notes that after a sluggish start to the year, US GDP growth rebounded in the June quarter and the labour market continues to tighten.

Key Quotes

“The large fall in the non-manufacturing ISM indicator in July is probably exaggerated and, together with the rebound in GDP growth, points to a re-alignment of the ‘hard’ activity data with the ‘soft’ business survey measures.”

“Growth is expected to remain modestly above the economy’s longer term trend; in the near-term it will be supported by the easing in financial conditions that has occurred despite Fed rate hikes.”

Author

Sandeep Kanihama

FXStreet Contributor

Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.

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