US: Expect upward revisions for the second release of Q2 GDP - TDS

Analysts at TDS and the wider market both expect upward revisions for the second release of US Q2 GDP.

Key Quotes

“The market is looking for a 2.7% print, just a hair above the initial 2.6%. TD looks for a more substantial upward revision to 3.0% q/q, with stronger consumer spending driving the upgrade. ADP employment for August will be published at 8:15 ET and the market is looking for a 185k print. Also on the calendar is 9:15 ET speech by Fed Governor Powell. Powell’s speech will focus on corporate governance but there is an audience Q&A which could provide more insight into the policy outlook.”

“CAD: The Q2 current account is the lone data release and the market has penciled in a widening of the deficit to $17.40bn from $14.05bn in Q1, which is largely in line with the realized deterioration in the goods trade deficit.”