No surprises in the second release of US GDP for Q2. The annualized growth rate was downgraded to 1.1%. Among the components, we have learned that personal consumption is up to 4.4% from 4.2% initially reported. This is positive.
The markets are not reacting, still awaiting the Jackson Hole event.
The US was expected to report a downgrade of GDP growth in Q2, from 1.2% (annualized) originally reported to 1.1% in this revision. Q1 2016 and Q4 2015 saw similar, poor growth. Hopes are high for a 3%+ growth rate in Q3 and Q4 this year.
The US dollar was trading in a stable manner ahead of the publication. Investors are eyeing the Jackson Hole Symposium. Fed Chair Janet Yellen is due to speak at 14:00 GMT and a dovish speech has the highest chances.
Here is our live coverage of the GDP release, with Valeria Bednarik and Mauricio Carrillo:
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