ArticleBody
Coming up on July 31 from Canada, monthly economic growth data, GDP for May 2018
- expected +0.3% m/m, prior +0.1%
- expected +2.3% y/y, prior +2.5%
Oh yeah, due at 1230GMT
What to expect? A couple of previews (bolding mine) via …
BMO:
Economic activity looks to have rebounded strongly in May after a very soft start to Q2.
- Manufacturing, retail and wholesale trade reported solid gains, while home sales perked up as well. The weather likely made a dent in broader April activity, so the reversal of that factor could boost May beyond what we've already seen from the data. Hours worked were flat, continuing a string of soft prints (flat or down in the four months to June), countering the broadly better data, but not weak enough to prompt us to pull down our call.
- The expected solid print keeps Q2 on pace for about 2.5% growth, with some upside from net exports.
RBC:
We are forecasting GDP to rise a robust 0.4% m/m in May after it edged 0.1% m/m higher in April.
- Domestic activity reports have been strong across the board, including a 2.0% increase in retail volumes and a 1.3% increase in wholesale volumes.
- The April gain was tempered by a decline in nonenergy mining that should not be repeated, though continuing refinery shutdowns in May could impact manufacturing GDP (as it did in the manufacturing sales report).
- This outcome is consistent with Q2 GDP growth of 2.6% annualized, close to the BoC's 2.8% projection in its July 11th MPR.
---
I am trying to get a few posts up ahead of the BOJ announcement. They will likely bore us all to tears and we will all fall asleep straight after.
