{"id":53736,"date":"2023-01-26T09:49:14","date_gmt":"2023-01-26T07:49:14","guid":{"rendered":"https:\/\/ironfx-com-php8.wp-dev.int.theitops.net\/?p=53736"},"modified":"2025-10-17T12:02:24","modified_gmt":"2025-10-17T09:02:24","slug":"us-gdp-data-incoming","status":"publish","type":"post","link":"https:\/\/www.ironfx-id.com\/fa\/us-gdp-data-incoming\/","title":{"rendered":"US GDP data incoming"},"content":{"rendered":"

Today, the market\u2019s attention is expected to shift towards the crucial preliminary quarter-on-quarter GDP estimate for Q4 as the results could guide the rates outlook of the Fed. According to forecasts the rate is expected to ease to 2.6%, when compared to the previous quarter 3.2% rate. Should the actual rate meet the expectations, that would imply that the domestic growth of the US is decelerating, showcasing that the cumulative effect of the Fed\u2019s tightening efforts has started to impact adversely the US economy. Another point of interest will be the Durable Goods orders for December which are expected to record a rebound from their recent slump, rising from -2.1% to 2.5% according to forecasts, and may dampen the potential negative effect of the GDP results. The uptick in demand for long lasting goods, could be attributed to the seasonality effect observed during the festivities season but also may be due to suppressed concerns in regards to the severity of the impending recession. Gold edged higher and reached its strongest levels in nine months as the dollar weakened, pressured by speculations that the Fed would downshift as well as mixed earnings results from top notch companies. US stock markets fell sharply lower at the open yesterday, yet they managed to pare most of their losses and close the day more or less unchanged. BoJ\u2019s summary of opinions once again showcased the resolve of the bank at keeping an ultra-low stance despite inflation hovering at 41-year highs. Yesterday, the BoC hiked by 25 basis points as was widely anticipated, raising the overnight rate to 4.5%, the highest in 15 years and became the first major central bank to signal the end of its tightening cycle. In its press release following the decision the Governing Council noted \u201cexpects to hold the policy rate at its current level while it assesses the impact of the cumulative interest rate increases\u201d matching analysts\u2019 expectations for a \u201chike and hold\u201d scenario. It was also stated that the Council \u201cis prepared to increase the policy rate further if needed to return inflation to the 2% target and remains resolute in its commitment to restoring price stability for Canadians\u201d. The bank projects inflation will ease around the 3% level in the middle of 2023. Following the decision, the reaction towards the CAD was dovish as the Loonie weakened at the release, since the market assessed the depressing growth projections for 2023 by the central bank. \u201cGrowth is expected to stall through the middle of 2023, picking up later in the year. The Bank expects GDP growth of about 1% in 2023 and about 2% in 2024\u201d it stated. The central bank acknowledged that housing market activity has declined substantially, as well as the pain inflicted on Canadians by high mortgage rates.<\/p>\n\n\n\n

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