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New Zealand Q2 GDP rises more strongly than expected

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The better-than-expected data has given NZD/USD a bit of a blip higher.

Stats NZ:

  • “Business services was the biggest driver of economic growth this quarter, largely due to computer system design,”
  • Several other industries also contributed to the growth this quarter, including: public administration, safety, and defense
    rental, hiring, and real estate services
    electricity, gas, water, and waste.
  • Transport equipment and machinery manufacturing drove higher activity in the manufacturing industry
  • Manufacturing activity increased this quarter after five consecutive quarters of decline.
  • “Following the impacts of Cyclone Gabrielle, both education and transport, postal, and warehousing grew this quarter after a decline in the March quarter. Agriculture, forestry, and fishing, which was also impacted by extreme weather events, fell in both the March and June quarters,”
  • Exports rose 5.0 percent, led by higher dairy, forestry, and meat exports.
  • Household spending grew 0.4 percent this quarter driven by increased spending on durables, including motor vehicles and audio-visual equipment.
  • Increases in exports, household spending, and investment resulted in a decrease in stock levels, particularly affecting motor vehicle and forestry inventories.

more to come

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