Australia’s GDP in 2020 Q4 was Significantly Higher than Market Expectations
Australia’s gross domestic product (GDP) in the fourth quarter of last year grew by 3.1% quarter-on-quarter, which was much higher than market expectations of 2.5%. It was also the second consecutive quarter of growth. The previous quarter’s growth was 3.3%, mainly due to the government’s large-scale monetary and fiscal stimulus measures. However, at an annualized rate, GDP still shrank by 1.1%, but it was narrower than market expectations and the previous contraction of 1.9% and 3.8%, respectively. The data strengthens the market’s expectations that the Australian economy is expected to get rid of the haze of the epidemic in the short term, and may be expected to support the performance of the Australian dollar.
U.S. Labour Market Growth Slows
In the United States, the number of private jobs at ADP increased by 117,000 in January, which was lower than the market’s expected increase of 177,000. The previous value was revised up to 195,000. During the period, the service industry added 131,000 jobs, mainly from education and health, professional and business. As for manufacturing jobs, it decreased by 14,000. US “Small non-agricultural data are far below expectations, reflecting the continued slowdown in the growth of the US labour market, especially for large enterprises and manufacturing.