Big Week For Econ Data, All Eyes On Q3 GDP


Virtually everyone I speak with on The Street is looking toward Thursday morning’s GDP report for the 3rd quarter of 2009.  This is supposedly THE quarter, the one that proves we are, in fact, growing again.

When explaining to clients what the GDP report actually is, I use the following quick-and-dirty equation:

Consumption + Investment + Government spending + (Exports – Imports) = GDP

The market’s expectation is for GDP growth to be 3.2% for the three months ended in September.  The consumption component should be helped (artificially) by this summer’s Cash For Clunkers program, and of course, breakneck spending will bolster the government portion.

One twist to be aware of is how the inventory data within the report is interpreted…

From Decision Economics:

The single most important release is likely to be the third-quarter (Thu)—which could have much greater than normal force in shaping the quarter-ahead outlook, because of forecasts uncertainties relating to the pivotal inventory component. In particular, an inventory surprise that tended to restrain third-quarter growth would be widely seen as tending to boost the fourth quarter, perhaps lifting hopes for better employment and consumer spending, then and beyond.

Prior to Thursday morning’s GDP report, investors will be watching for the August Case-Shiller Home Price Index and the October Consumer Confidence report, both due out on Tuesday.  We’ll also get durable goods and new-home sales on Wednesday along with jobless claims on Thursday.

It’s going to be a big week for economic data, so good luck and keep in mind what to watch for.

Full Disclosure:  Nothing on this site should ever be construed as research, advice or an invitation to buy or sell any securities, please see my Terms & Conditions page for a full disclaimer.

What's been said:

Discussions found on the web
  1. Zeitarbeitsfirma Pflege Rostock commented on Sep 15

    … [Trackback]

    […] There you can find 64090 more Information to that Topic: […]

  2. w88 commented on Sep 21

    … [Trackback]

    […] Information on that Topic: […]

  3. is blazing trader a scam? commented on Sep 28

    … [Trackback]

    […] Find More on that Topic: […]

  4. bitcoin evolution reviews commented on Sep 29

    … [Trackback]

    […] Read More to that Topic: […]

  5. blazing trader commented on Sep 30

    … [Trackback]

    […] Find More to that Topic: […]

  6. kalpa pharma official website commented on Oct 21

    … [Trackback]

    […] There you can find 65687 more Info to that Topic: […]

  7. DevOps commented on Dec 09

    … [Trackback]

    […] There you will find 27106 additional Information on that Topic: […]

  8. long wig for sale commented on Dec 29

    … [Trackback]

    […] Here you can find 18265 additional Info on that Topic: […]

  9. Buy Guns Online commented on Jan 23

    … [Trackback]

    […] There you will find 60082 more Info to that Topic: […]

  10. Agri-Fab Paint Sprayer manuals commented on Jan 23

    … [Trackback]

    […] There you can find 32420 additional Info to that Topic: […]