US: NY Fed’s GDP Nowcast rises to 4.2% for Q3 after this week’s data

The US economy is expected to grow by 4.2% in the third quarter of 2021, the Federal Reserve Bank of New York’s latest Nowcasting Report showed on Friday.

“News from this week’s data releases increased the nowcast for 2021:Q3 by 0.1 percentage point,” the NY Fed noted in its publication. “Positive surprises from merchant wholesale inventory data drove the increase.”

Market reaction

This report was largely ignored by market participants and the US Dollar Index was last seen rising 0.27% on a daily basis at 92.12.