Australia: Q2 GDP rose by 0.9% - TDS

Annette Beacher, Chief Asia-Pacific Macro Strategist at TD Securities notes that Australian June quarter GDP rose by +0.9%/qtr, outpacing consensus' +0.7%/q and TD +0.8%/q.

Key Quotes

“The AUD bounced to $US0.722, but there are many hurdles to overcome before the market can be bullish AUD.”

“We may be the optimists on the analyst spectrum, but the RBA isn't targeting growth per se and we are left to await next month's Q3 CPI report for the next policy hurdle.”

“GDP expanded by 2.6% in 2016, 2.2% in 2017 and the RBA expects growth to be 'a bit above trend' this year and next. 0ur 2018 and 2019 estimates are 3.4% (was 3.1%) and 3.3% (unchanged) respectively.”