NFP is going out at 15:30 MT today. Let’s see what major banks forecast for Nonfarm Payrolls.
US economic surge in the first quarter speeds down to 2.3%
As the official report uncovered on Friday revealed, in the first quarter the US economy speeded down.
According to the report of the US Department of Commerce, the updated value of the American GDP surge for the first quarter was raised to approximately 2.3%.
This figure turned to be higher than analysts' estimates that assumed GDP surge at about 2%. In the fourth quarter, the American economy managed to edge up 2.9%.
Slowdown in economic surge compared to the fourth quarter in the main was due to a reduction in growth in the first quarter of real consumer spending in America to about 1.1% after growth of 4% in the previous quarter. By the way, this figure also turned out to be lower than the forecast for surge by 1.2%.
The US GDP deflator in the first quarter tacked on by 2% against the previous surge of 2.3% and compared with a jump of 2.2% in the fourth quarter.
Notwithstanding the dive in indicators, the US recorded the best start of the year from 2015. In addition to this the American economy proceeds with the second longest period of surge after the end of World War II.
Analysts are assured that the report on US GDP won’t probably change the plans of Fed officials to gradually lift the interest rate, considering the expected surge in the American economy in the nearer months because of tax cuts implemented by the Trump administration.
According to the forecast from Investing.com, market participants are assured that the next interest rate lift will take place in June and also hope that the next hike will be in September.
Data on US GDP growth in the first quarter is going to be updated on May 30 and June 28.
The Australian economy has been on a steady recovery path, and now we have a very symbolic confirmation that S&P ASX 200 is about to cross 7000!
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The Reserve Bank of New Zealand will hold a meeting on Wednesday, April 14, at 05:00 MT.