US: Q3 GDP likely to print 2.5% - TDS

Analysts at TDS suggest that the US Q3 GDP will provide one of the last pieces of top-tier data ahead of the upcoming FOMC meeting and they are slightly below the market and looks for a 2.5% print (market: 2.6%) though hurricane distortions could make for a noisy report.

Key Quotes

“The market is also looking for a 2.1% increase in personal consumption and 1.3% print on core PCE. Final University of Michigan sentiment for October will round out the data calendar and the market expects only a modest pullback from the preliminary jump to 101.1, which stands as a 17-year high. We will also be watching inflation expectations for any signs of improvement after long-term expectations fell to 2.4% in the preliminary print. This is the second weakest reading of the cycle and sits just above the cycle-low of 2.3%.”