We learned this week that much of the strength of consumption growth in the second quarter was sustained in July, suggesting that third quarter GDP growth will be stronger than we had anticipated. The July retail sales figures showed control group sales rising by 0.5% in July, leaving the 3m/3m growth rate at 5.9% annualised. Even factoring in the weakness of auto sales, the July data provide a strong base and suggest that real consumption will post another decent gain in the third quarter.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services