Q2 2016 UK GDP revision data report 0.6% prior q/q
Prelim 0.6% . Q1 0.4%
- 2.2% vs 2.2% exp y/y. Prelim 2.2%. Prior 2.0%
- Exports 0.1% vs 0.7% exp q/q. Prior -0.4%
- Imports 1.0% vs 0.8% exp q/q. Prior 0.1%
- Private consumption 0.9% vs 0.8% exp q/q. Prior 0.7%
- Government spending -0.2% vs 0.3% exp q/q. Prior 0.5%
- Business investment 0.5% vs -0.8% exp q/q. Prior -0.6%
- -0.8% vs -1.4% exp y/y. Prior -0.8%
- Gross fixed capital formation 1.4% vs 0.4% exp q/q. Prior -0.1%
- June index of services 0.2% vs 0.1% exp m/m. Prior -0.1%. Revised to 0.0%
- 0.5% vs 0.4% exp 3m/3m. Prior 0.3%
First thing to remember is that there's very little actual Brexit noise in this data. Any negatives will be pre-vote nerves and not after vote effects.
Even so, there's good news for business investment, which is something you would have expected to see take a further beating on Brexit worries. The fact it's snapped back suggests that the fear surrounding the vote has lessened. Consumption was up too which shows there wasn't much Brexit fear there either, something that we've seen confirmed in the recent retail sales.
Let there be no mistake that there are many more twists and turns to go but looking at this data, the pre-vote fear factor may have been overplayed.
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