Q2 growth heading for four year high – RBS
FXStreet (Guatemala) – Analysts at RBS explained that their RBS UK GDP Tracker signals 0.9% growth in Q2 (a 4-year high).
“Our preliminary UK GDP Tracker estimate for Q2 2014 signals an acceleration in growth has accelerated to 0.9% (from 0.8% in Q1)”.
“Available data suggest broad-based strength in output in Q2, notably in the industrial sector where we expect growth to rise by 1.0% following expansion of 0.7% in Q1”.
“Services data remain thin on the ground but business surveys have generally maintained Q1 levels while retail sales volumes have seemingly been supported by lower inflation”.
“Base effects for some of the services output data (wholesale, motor vehicle and public services) are demanding so we judge the risks around our Tracker estimate to be to the downside”.
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