020 7898 0500There was some good news from the US on Friday, as GDP growth for the second quarter of 2018 came in as expected at 4.1%. This was a dramatic improvement on the upwardly revised figure of 2.2% in the previous period and is the strongest growth rate since the third quarter of 2014. It will probably not encourage the Fed to hike rates when they meet on Thursday, but it will certainly give them something to think about in the future.
The University of Michigan’s consumer sentiment for the US came in at a six-month low of 97.9 in July 2018, although consumer expectations and currency economic conditions came in better than expected. The dollar didn’t strengthen following the releases and, in truth, it was a pretty quiet day for currency movements at the end of last week. This could change this week.
Today is a fairly quiet start to the week for US economic data, but tomorrow we will see personal income and spending for June, while Wednesday sees the employment change figures for July, as well as manufacturing PMI. The Federal Reserve will also announce its interest rate decision that day, although it is widely expected to remain at 2%.
