United States GDP Consumer Spending QoQ Adv

Info

History

Chart

Impact:

Low

Latest Release:

Actual:

2.2%

Forecast:

Previous/Revision:

Period: Jan 2016

What Does It Measure?

The United States GDP Consumer Spending QoQ Adv measures the quarterly change in the total expenditures made by households and non-profit institutions on goods and services. This indicator primarily focuses on consumer spending as a critical component of GDP, assessing sectors such as durable goods, nondurable goods, and services, highlighting consumer confidence and economic health.

Frequency

This indicator is released quarterly, with the advance estimate typically published roughly one month after the end of the quarter.

Why Do Traders Care?

Traders monitor this metric closely as it directly influences expectations for economic growth and consumer behavior, impacting financial markets significantly—strong consumer spending is generally bullish for equities and can lead to currency appreciation. Conversely, weaker than anticipated spending may suggest economic weakness, creating bearish sentiment in markets.

What Is It Derived From?

The calculation of the GDP Consumer Spending QoQ Adv is derived from various sources, including retail sales data, service industries, and survey responses from businesses, households, and government. It employs national accounting principles and incorporates extensive data collection methodologies, ensuring a comprehensive view of consumer expenditures.

Description

The advance estimate of consumer spending showcases preliminary data reflecting initial consumer expenditure trends for the most recent quarter. This advance data is subject to revision as more complete information becomes available, helping to refine understanding of consumer behavior and overall economic performance.

Additional Notes

This GDP indicator serves as a coincident economic measure, often indicating prevailing economic conditions and consumer confidence levels. Generally, it is viewed in conjunction with other indicators, such as retail sales and employment figures, to give a more rounded perspective on economic activity.

Bullish or Bearish for Currency and Stocks

Higher than expected: Bullish for USD, Bullish for Stocks.

Legend

High Potential Impact
This event has a strong potential to move markets significantly. If the 'Actual' value differs enough from the forecast or if the 'Previous' value is significantly revised, it signals new information that markets may rapidly adjust to.

Medium Potential Impact
This event may cause moderate market movement, especially if the 'Actual' deviates from the forecast or there's a notable revision to the 'Previous' value.

Low Potential Impact
This event is unlikely to affect market pricing unless there's an unexpected surprise or a major revision to prior data.

Surprise - Currency May Strengthen
Actual deviated from Forecast on a medium or high impact event and historically could strengthen the currency.

Surprise - Currency May Weaken
Actual deviated from Forcast on a medium or high impact event and historically could weaken the currency.

Big Surprise - Currency More Likely To Strengthen
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely strengthen the currency.

Big Surprise - Currency More Likely To Weaken
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely weaken the currency

Green Number	Better than forecast for the currency (or previous revise better)
Red Number	Worse than forecast for the currency (or previous revise better)
Hawkish	Supports higher interest rates to fight inflation, strengthening the currency but weighing on stocks.
Dovish	Favors lower rates to boost growth, weakening the currency but lifting stocks.

Date	Actual	Forecast	Previous	Surprise
Jan 29, 2016	2.2%		3%
Oct 29, 2015	3.2%	3.3%	3.6%	-0.1%
Jul 30, 2015	2.9%		1.8%