US Q2 GDP growth to accelerate to 2.5% q/q - TDS

Research Team at TDS, suggests that on Friday, US Q2 GDP data is released and TD forecasts GDP growth to accelerate to 2.5% q/q (consensus: 2.6%) as underlying growth momentum recovers from the subpar 1.1% q/q pace in Q1.

Key Quotes

“The rebound is expected to be driven by personal spending activity, which should boast its strongest gain in two years. However, we see downside risks to consensus owing to the potential for a weaker inventory contribution. The market will also take some cue from the tone of the benchmark revisions to GDP, which we expect to be mildly positive.”