oussama94
05-29-2017, 00:27
Contrary to popular belief, the GDP report is no longer a very marketmoving
indicator for the U.S. dollar. One possible explanation is that GDP
is released less frequently than other data used in the study (quarterly versus
monthly), but the GDP data is also more prone to ambiguity and misinterpretation.
For example, surging GDP brought about by rising exports
will be positive for the home currency; however, if GDP growth is a result
of inventory buildup, the effect on the currency may actually be negative.
In addition, many of the components that comprise the GDP report are
known in advance of the release
indicator for the U.S. dollar. One possible explanation is that GDP
is released less frequently than other data used in the study (quarterly versus
monthly), but the GDP data is also more prone to ambiguity and misinterpretation.
For example, surging GDP brought about by rising exports
will be positive for the home currency; however, if GDP growth is a result
of inventory buildup, the effect on the currency may actually be negative.
In addition, many of the components that comprise the GDP report are
known in advance of the release